Oman

# Oman Economic Profile

Oman is an important energy supplier in the Middle East region with an economic structure heavily dependent on the oil and natural gas industries. As of 2023, the country's Gross Domestic Product (GDP) is approximately $120 billion in scale and is classified as a high-income country. The oil industry accounts for approximately 40% of GDP and about 80% of fiscal revenues, forming the core of the economy. The natural gas industry is also noted as a growth sector, with liquefied natural gas (LNG) exports serving as an important source of revenue.

In terms of recent economic trends, Oman is promoting an economic diversification strategy called "Vision 2040." The country is reducing its dependence on oil and putting effort into developing non-oil industries such as tourism, logistics and port industries, renewable energy, and mining. The tourism industry in particular is growing rapidly, with development of tourism resources leveraging natural beauty and cultural heritage. Additionally, the rise in crude oil prices in 2022 has improved fiscal conditions, increasing budgets for infrastructure investment and human resource development.

Notable points include Oman's geopolitically important location and port development taking advantage of its strategic position facing the Strait of Hormuz. In particular, the development of Duqm Port is a large-scale project aimed at establishing a logistics hub in the Indian Ocean region. Furthermore, against the backdrop of good relations with major regional countries such as Saudi Arabia and the UAE, the country is showing a stance to leverage opportunities for regional economic integration. On the other hand, with a small economy of approximately 4.5 million people, fiscal sustainability and the pace of economic diversification progress are issues to be addressed going forward.