Definition
A sovereign wealth fund (SWF) is a state-owned investment fund that manages national savings, typically derived from commodity revenues, for the benefit of current and future generations. SWFs invest in a diversified portfolio of domestic and international assets including equities, bonds, real estate, infrastructure, and private equity. Oman sovereign wealth fund is the Oman Investment Authority (OIA), formed in 2020 through the merger of the State General Reserve Fund (SGRF) and the Oman Investment Fund (OIF).
Context in Oman
The OIA was established by Royal Decree 61/2020 to consolidate and professionalise management of state investments. It inherited portfolios from the SGRF (established 1980) and the OIF (established 2006), combining domestic operating companies and international financial investments under one governance framework. The OIA manages stakes in major Omani companies including OQ (energy), Omantel (telecoms), Bank Muscat, and numerous other entities. Its international portfolio includes investments in global equities, real estate, and alternative assets. The OIA also oversees the Oman Future Fund, which targets growth investments in sectors aligned with Vision 2040.
Key Data Points
| Metric | Value |
|---|---|
| Formed | 2020 (merger of SGRF and OIF) |
| Estimated assets under management | USD 17-20 billion |
| Key domestic holdings | OQ, Omantel, Bank Muscat |
| International portfolio | Global equities, real estate, PE |
| Governance | Board chaired by Sultan |
Vision 2040 Connection
The OIA is a critical enabler of Vision 2040. It provides long-term capital for strategic domestic investments, supports privatisation by selling stakes in SOEs to the public, and manages intergenerational savings to ensure that Oman oil wealth benefits future citizens. The OIA investment strategy is explicitly aligned with Vision 2040 priority sectors.
Further Reading
- [[Oman Privatisation Programme]]
- [[What is Fiscal Sustainability]]
- [[Oman Capital Markets Guide]]