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Oman increases governorate development funding to RO 270 million

by News editor
January 11, 2026
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Oman increases governorate development funding to RO 270 million
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MUSCAT : The increased allocation is aimed at expanding the implementation of development projects, enhancing the programme’s investment and economic returns, and building on the successes achieved during the Tenth Five-Year Plan. The programme has played a key role in stimulating economic activity, creating job opportunities, supporting small and medium enterprises (SMEs), and improving investment and tourism attractiveness in various governorates.

Saeed bin Rashid Al Qutbi, Director General of Social Sectors at the Ministry of Economy, said the programme was launched in implementation of the supreme directives of His Majesty Sultan Haitham bin Tarik to allocate RO 4 million annually to each governorate during the Tenth Five-Year Plan, with total allocations amounting to RO 220 million. He explained that the programme aims to optimise the use of natural resources based on the comparative advantages of each governorate and to achieve comprehensive and sustainable development through economic and social projects that improve service delivery.

In a statement to the Oman News Agency, Al Qutbi noted that the programme has contributed effectively to achieving the goals of Oman Vision 2040, particularly in strengthening administrative, financial, and economic decentralisation, supporting sustainable development, empowering local administrations, and improving living standards. He added that the programme has encouraged private sector participation, supported national employment targets, and enhanced the role of SMEs.

With the launch of the Eleventh Five-Year Plan, Al Qutbi said work is underway, in coordination with relevant authorities, to further develop the programme to meet future aspirations and maximise its economic and social impact. This includes enhancing the governorates’ role in attracting investment and leveraging their diverse assets, including marine, agricultural, mineral, heritage, tourism, and geographical resources.

He revealed that the total number of completed and ongoing projects under the programme increased from 941 projects at the end of 2024 to 1,089 projects by the second half of 2025, with total expenditure reaching RO 127 million from 2021 to November 2025. Allocations for the programme in the 2025 state budget amounted to approximately RO 44 million. During this period, 950 contracts were awarded to SMEs.

The programme has generated 1,400 direct job opportunities and 428 indirect jobs, while delivering a wide range of projects, including tourism initiatives, waterfronts and facades, festivals and events, markets and kiosks, parks and walkways, road networks, rainwater drainage systems, lighting projects, and other infrastructure works. These initiatives have contributed to improving infrastructure, stimulating local economies, and enhancing community satisfaction, particularly in the tourism sector, a key pillar of economic diversification.

Since the programme’s inception until November 2025, 67 events and festivals have been implemented to promote tourism and support SMEs, alongside 60 tourism-related development projects, 259 infrastructure and public service projects, 20 rainwater drainage projects, 162 parks and walkways, 125 street lighting projects, 55 internal road paving projects, and 80 markets, slaughterhouses, and kiosks.

Al Qutbi highlighted a number of flagship projects across governorates, including the artificial lake and oasis projects in Al Buraimi, boulevard and public park developments in Al Dakhiliyah, commercial and road infrastructure projects in Al Dhahirah, waterfront and road paving projects in Al Wusta, park and waterfront developments in South Al Batinah, tourism festivals and waterfront revitalisation projects in South Al Sharqiyah, and urban development and festival initiatives in North Al Batinah.

For all the latest news from Oman and GCC, follow us on Twitter, Instagram and LinkedIn, like us on Facebook and subscribe to our YouTube page, which is updated daily.





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