Entrepreneurs wishing to create strong and stable new businesses with high growth prospects need not limit their prospects to their home countries. There are plenty of nations that offer excellent opportunities for new business, and in the Middle East, the gulf Sultanate of Oman is one of the leading contenders.
In this article, we detail five clear reasons why Oman is a great choice for entrepreneurs looking to maximise their investment.
The economy is well-developed and growing
While Oman’s economy is heavily dependent on oil and natural gas extraction (representing 51% of GDP, the service sector is growing and represents 37% of the economy, according to Trading Economics – a great opportunity for entrepreneurs.
GDP in 2020 stood at $63 billion – lower than many other nations in the region but representative of the nation’s small size. And while the economy did dip in 2020 due to the pandemic, this was only slight at -2.8%, with Statista figures showing a healthy increase of 3% in 2021 and a large 5% growth in 2019.
Oman is a stable country
According to insights from Thompson Reuters, Oman is currently, and has long been, a highly stable place of doing business. The country coped well with both the Arab Spring and pandemic, and a smooth transition of power was experienced following the passing of the Sultan Qaboos in 2020. This means entrepreneurs can invest safe in the knowledge their businesses won’t be hit by significant economic or political shocks.
Legislation encourages investment
Recent royal decrees in 2019 and 2020 have liberalised foreign investment law in the Sultanate. Single member limited liability companies can now be formed. A new Foreign Capital Investment Law is set to simplify and streamline the investments procedures and permits regime. And a range of measures are being introduced to encourage public-private partnerships. It can nevertheless be beneficial for entrepreneurs to enlist the help of consultancies with Omani expertise whenever starting a new venture in the country.
Business infrastructure is excellent
Oman is a well-developed country, and this extends to its business infrastructure. Physical infrastructure in and around the capital, Muscat, is excellent, and the country has invested in connectivity and security. Property rights are clearly enshrined in law, and the Ministry of Foreign Affairs and Commerce of Oman has taken steps to assist entrepreneurs in identifying investment opportunities.
Taxes are low
Oman does not levy any taxes on income or individuals, and the corporate tax on companies is low at just 15%. Additionally, once businesses are running, goods can be shipped between Gulf Cooperation Council (GCC) nations free of customs duties, providing entrepreneurs with even greater returns owing to reduced business administration.
Have you considered investing in Oman or starting a new business there? Let us know your experiences in the comments section.