Muscat – Oman on Thursday launched its 11th Five-Year Development Plan (2026–2030), the second executive roadmap under Oman Vision 2040, targeting annual average real GDP growth of 4%.
The plan represents a key phase in advancing the sultanate’s economic and social transformation and is built on comprehensive sectoral policies focused on efficiency, sustainability and competitiveness. It places strong emphasis on fiscal sustainability and economic diversification, priorities regarded as essential to sustaining long-term economic growth. A gradual transition towards a low-carbon economy and the adoption of sustainable environmental policies also form a central pillar of the new plan.
Positioned as a bridge from economic recovery to a phase of growth and expansion, the plan is supported by a clear strategic vision and integrated legislative and regulatory frameworks, placing Oman on a path towards a more prosperous and sustainable economic future.
The 11th Five-Year Development Plan is structured across three implementation phases: the First Work Programme (2026–2027), the Second Work Programme (2028–2029), and a Complementary Work Programme in 2030, which will focus on evaluation and preparation for the 12th Five-Year Plan.
From a planning perspective, the framework is based on two main pathways. The Economic Pathway aims to leverage economic drivers to address challenges, promote sustainable diversification, enhance export capacity and generate employment opportunities for citizens. The Developmental Pathway focuses on strengthening infrastructure and meeting broader development needs to achieve balanced social and environmental progress, while improving household incomes in line with the objectives of Oman Vision 2040.
H E Dr Said Mohammed al Saqri, Minister of Economy, said the plan focuses on promoting promising economic sectors with high growth potential, strong job creation capacity and significant contributions to GDP. He identified three core sectors: manufacturing industries, tourism and the digital economy. Supporting and enabling sectors include mining, food security, renewable energy, transport and logistics, as well as education and health.
He added that the 10th Five-Year Plan (2021–2025) generated around 175,000 job opportunities, while the new 11th plan is expected to create 300,000 jobs across the public and private sectors between 2026 and 2030. This equates to 60,000 opportunities annually, including 10,000 in the public sector and 50,000 in the private sector.
H E Dr Nasser Rashid al Maawali, Undersecretary of the Ministry of Economy, said economic projections for 2026 indicate a real GDP growth of 4%, with inflation expected to remain stable at 1.4%.
He said the plan requires additional investments estimated at RO15.6bn during 2026-2030, directed towards key economic and social sectors to accelerate growth and achieve targets.
He outlined the plan’s targets, which include GDP growth of 4.6% at current prices and 4% at constant prices; an investment-to-GDP ratio of 28% at current prices; FDI inflows equivalent to 11% of GDP; and an inflation ceiling of 2%. The plan also aims to raise the private sector’s contribution to GDP at current prices to 56%, with private investment accounting for 21% of GDP.
The high-growth sectors identified under the plan include manufacturing industries, targeted to grow by 5.9%; the digital economy at 10.8%; and tourism at 5.7%.
H E Dr Maawali said the plan introduces a robust performance management system to monitor implementation, using clear indicators to track progress and ensure efficient execution with tangible developmental outcomes for citizens.
The financial framework of the plan is based on an assumed oil price of $60 per barrel. Average yearly general revenues over the plan period are estimated at RO11.556bn, compared with average public expenditure of RO12.222bn, resulting in an estimated average yearly deficit of RO666mn.
The framework aims to increase the share of non-oil revenues to around 37.4% of total revenues by the end of the plan. During 2026-2030, annual development spending is estimated at RO900mn, with a further RO400mn allocated annually for economic transformation projects. Average annual spending on the social protection system is projected at RO668mn.
The plan includes strategic programmes for each national priority, as well as dedicated programmes for the information and communication technology sector and youth and entrepreneurship. In total, 190 strategic programmes are included under the priorities of Oman Vision 2040.
