Non-Oil GDP Share: 70.5% ▲ +9.5pp vs 2017 | QS Ranking — SQU: #334 ▲ ↑28 places | Fiscal Balance: +2.8% GDP ▲ 3rd surplus year | CPI Rank: 50th ▲ +20 places | Global Innovation Index: 69th ▲ +10 vs 2022 | Green H₂ Pipeline: $30B+ ▲ 2 new deals 2025 | Gross Public Debt: ~35% GDP ▲ ↓ from 44% | Digitalised Procedures: 2,680 ▲ of 2,869 target | Non-Oil GDP Share: 70.5% ▲ +9.5pp vs 2017 | QS Ranking — SQU: #334 ▲ ↑28 places | Fiscal Balance: +2.8% GDP ▲ 3rd surplus year | CPI Rank: 50th ▲ +20 places | Global Innovation Index: 69th ▲ +10 vs 2022 | Green H₂ Pipeline: $30B+ ▲ 2 new deals 2025 | Gross Public Debt: ~35% GDP ▲ ↓ from 44% | Digitalised Procedures: 2,680 ▲ of 2,869 target |
Encyclopedia

Salalah City Guide

Complete guide to Salalah in Dhofar region covering tourism economy Khareef season and development projects

Salalah City Guide

Salalah, the capital of the Dhofar Governorate, is Oman’s second-largest city and a unique destination that transforms into a lush green paradise during the annual Khareef (monsoon) season from June to September. Known as the perfume capital of Arabia for its frankincense heritage, Salalah is a growing economic centre with a major free zone port and tourism infrastructure.

Key Facts

IndicatorValue
Population~400,000
GovernorateDhofar
AirportSalalah International Airport
PortPort of Salalah
UNESCO SiteLand of Frankincense

Khareef Season

The Khareef monsoon brings cool temperatures and rainfall to Dhofar’s coastal mountains, creating waterfalls, verdant hillsides, and misty landscapes unique in the Arabian Peninsula. The Salalah Tourism Festival during Khareef attracts over 600,000 visitors annually from across the Gulf region.

Economy

Port of Salalah is a global container transshipment hub operated by APM Terminals. The Salalah Free Zone hosts manufacturing, logistics, and services businesses. The economy also relies on agriculture, fisheries, and a growing tourism sector. Frankincense harvesting continues as both a cultural practice and commercial activity.

Heritage Sites

The Land of Frankincense UNESCO World Heritage Site encompasses Al Baleed Archaeological Park, Khor Rori, Shisr (Ubar), and the Wadi Dawkah frankincense grove. The Museum of the Frankincense Land provides cultural context. Ancient trading port ruins testify to Dhofar’s historical role in the incense trade.

Development Projects

Major developments include Hawana Salalah integrated tourism complex, the Salalah Free Zone expansion, and new hospitality projects along the coastline. The government is investing in road infrastructure connecting Salalah to inland tourism sites and border crossings with Yemen.

Living in Salalah

Salalah offers a lower cost of living than Muscat with a relaxed lifestyle. International schools, healthcare facilities, and shopping centres serve the community. The city has a distinct cultural identity influenced by its proximity to East Africa and historical Indian Ocean trade connections.