Definition
Foreign Direct Investment (FDI) as a percentage of GDP measures the annual net inflow of investment capital from foreign entities into productive assets within a country, expressed as a share of that country’s gross domestic product. FDI includes equity capital, reinvested earnings, and intercompany loans where the investor holds a 10 percent or greater stake in the enterprise. This metric is sourced from the World Bank’s World Development Indicators, drawing on balance-of-payments data reported by national central banks. It is a standard measure of a country’s ability to attract and retain foreign capital at scale.
Oman’s Vision 2040 Data
Low single digits (2017) → ~3-4% (2023 est.) → 10% target (2040)
Why It Matters
FDI intensity measures whether Oman’s reform agenda — including 100 percent foreign ownership, free zone incentives, and regulatory modernisation — is translating into actual capital flows. The 10 percent of GDP target by 2040 would require approximately USD 6-7 billion in annual FDI inflows, representing a substantial increase from current levels. Achievement depends on green hydrogen project finance reaching final investment decisions, continued improvement in the business environment (as measured by CPI and EODB rankings), and capital market deepening that attracts portfolio and direct investment.
Related Indicators
Vision 2040 tracks FDI alongside Non-Oil GDP Share, Ease of Doing Business, and Corruption Perceptions Index to assess whether structural reforms are generating measurable investment outcomes. See the KPI Tracker for detailed progress analysis.