Overview
Oman’s governance has been historically centralised in Muscat, with decision-making concentrated in national-level institutions. Vision 2040 raises questions about whether greater decentralisation could improve service delivery, economic development, and governance effectiveness across the Sultanate’s diverse regions.
Centralised Governance in Oman
Oman’s centralised governance model concentrates authority in Muscat-based ministries and agencies. The Sultan appoints governors, and national ministries manage education, health, and infrastructure across all governorates. This model ensures policy consistency, efficient resource allocation, and clear lines of authority. Centralisation has been effective for rapid national development since 1970 and enables decisive policy implementation.
Decentralised Governance Models
Decentralised governance, practiced in countries like Switzerland, Germany, and the UAE’s federal system, delegates authority to subnational governments. Local authorities manage budgets, deliver services, and set priorities based on local needs. Decentralisation can improve service responsiveness, encourage local innovation, and empower communities. However, it requires institutional capacity at the local level and robust coordination mechanisms to prevent fragmentation.
Key Differences
Centralised systems are more efficient for national-level policy implementation and resource redistribution. Decentralised systems are more responsive to local needs and can foster innovation through policy experimentation. Oman’s geographic diversity, with coastal, desert, and mountain regions, creates different development needs that centralised planning may not adequately address. The capacity of local institutions in Oman is still developing.
Verdict / Bottom Line
Oman should consider selective decentralisation in areas like municipal services, local economic development, and tourism promotion, while maintaining centralised control over national standards, major infrastructure, and fiscal policy. Building local institutional capacity is a prerequisite for effective decentralisation. A gradual approach, starting with pilot governorates, would allow learning and adaptation.