Definition
The Omanisation Rate measures the percentage of total private-sector employees who are Omani nationals, as mandated by the Ministry of Labour’s workforce nationalisation policy. Omanisation rates are set at sector-specific levels, with higher quotas in sectors such as banking, telecommunications, and insurance, and lower quotas in construction and agriculture where skills availability constraints are more acute. The metric is tracked both as an aggregate rate across the entire private sector and as sector-specific compliance rates monitored through the Ministry of Labour’s digital labour market information system.
Oman’s Vision 2040 Data
~35% overall (2017) → ~42% (2024 est.) → Substantial increase target (2030) → Major structural shift target (2040)
Why It Matters
Omanisation is the primary policy instrument for addressing youth unemployment among Omani nationals and reducing dependence on expatriate labour. For investors, Omanisation quotas directly affect operating costs, recruitment strategies, and workforce planning. The rate’s trajectory signals the government’s commitment to structural labour market reform and the practical constraints on hiring flexibility that foreign companies must navigate when operating in the Sultanate.
Related Indicators
Vision 2040 tracks Omanisation alongside Omanis in Private Sector Jobs, Skilled Labour in Private Sector, and Youth Development Index to assess the quality and sustainability of labour market outcomes. See the KPI Tracker for detailed progress analysis.