Overview
Oman’s privatisation programme represents a strategic shift toward reducing the state’s direct role in commercial activities and unlocking private-sector dynamism. The programme encompasses initial public offerings of state-owned enterprises, concession agreements for infrastructure, and broader public-private partnerships across transport, utilities, and social services. By transferring operational responsibility to the private sector, the government seeks to improve efficiency, deepen capital markets, and generate fiscal proceeds.
Key Points
The landmark IPO of OQ Exploration and Production on the Muscat Stock Exchange in 2024 signalled the government’s commitment to capital-market development. Additional offerings are planned for companies in ports, logistics, electricity generation, and telecommunications. A dedicated privatisation unit within the Ministry of Finance coordinates transaction pipelines and investor engagement. Governance reforms for state-owned enterprises include independent board appointments, transparent financial reporting, and performance-linked management contracts.
Current Status
The Muscat Stock Exchange has seen increased liquidity and foreign investor participation following recent listings. The government has identified a pipeline of more than thirty enterprises for potential privatisation or partial divestiture over the coming decade. Public-private partnership legislation has been updated to streamline procurement and provide clearer risk-allocation frameworks. International advisory firms have been engaged to ensure transactions meet global best-practice standards.
Vision 2040 Context
Vision 2040 envisions a vibrant private sector that drives economic growth and employment. Privatisation is a key enabler, transferring assets to competitive ownership structures while freeing government resources for core public services. A deep, liquid capital market supports wealth creation for citizens and attracts international portfolio investment, positioning Muscat as a credible financial centre within the Gulf region.