Oman’s tourism and hospitality sectors undergo transformative growth

Muscat: Oman’s tourism and hospitality sectors are undergoing significant expansion as the country advances its long-term development goals under Vision 2040. A new Growth Perspectives Video produced by Oxford Business Group (OBG), in partnership with Omran Group, examines how investment, innovation and sustainable practices are helping to position tourism as a key contributor to national progress.

The video, titled Oman’s tourism and hospitality sectors undergo transformative growth, highlights the country’s target of attracting 11 million tourists annually by 2040, supported by around OMR20 billion ($51bn) in projected investment to the sector, according to National Tourism Strategy 2040. 

Particular focus is placed on the contribution of the hospitality segment, which is forecast to achieve a compound annual growth rate of 6.3% by 2026, according to Oman’s National Centre for Statistics and Information (NCSI).

The video outlines the importance of a broad range of offerings—from luxury resorts and business hotels to eco-lodges—and explores Oman’s efforts to align tourism development with environmental, social and governance (ESG) principles.

In line with Oman’s National Tourism Strategy, the sector’s growth is being guided by a commitment to cultural preservation and sustainable development.

Strategic projects such as the Sustainable City Yiti in Muscat—a $1bn eco-urban initiative—demonstrate how Oman is combining infrastructure modernisation with climate-conscious planning. The country is also leveraging its rich cultural heritage and natural attractions, including UNESCO World Heritage sites and diverse landscapes across its governorates.

Dana Carmen Agarbicean, OBG’s Country Director for Oman, said the country’s growing profile as a tourism destination reflects effective public-private collaboration and a clear strategic vision.

“Oman’s tourism and hospitality sectors are becoming increasingly important pillars of economic diversification. The sector’s expansion is supported by targeted investment, institutional coordination and an emphasis on sustainable, inclusive growth.”

This Growth Perspectives Video forms part of Oxford Business Group’s wider research for The Report: Oman 2025, the Group’s forthcoming publication on the country’s investment opportunities and economic developments. The report will also feature a detailed interview with Hashil bin Obaid Al Mahrouqi, the Chief Executive Officer at Omran Group.

Oxford Business Group (OBG) is a global research and advisory company with a presence in over 30 countries, spanning Africa, the Middle East, Asia, and the Americas. It is recognised internationally as a distinctive and respected provider of on-the-ground intelligence on world’s fastest-growing markets, termed The Yellow Slice, in reference to OBG’s corporate colour. 

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