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Unified framework to strengthen Oman’s economic zones, regulate labour licenses and Omanisation targets

by News editor
March 3, 2026
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Unified framework to strengthen Oman’s economic zones, regulate labour licenses and Omanisation targets
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MUSCAT – OPAZ clarified that the Authority’s system, promulgated by Royal Decree No. 39/2026, holds significant regulatory importance in achieving the objectives for which the Authority was established. It further enhances the business environment, contributes to attracting investment, and consolidates the governance of these zones.
His Excellency Qais Mohammed Al Yousef, Chairman of the Public Authority for Special Economic Zones and Free Zones, emphasised that the system grants broader powers that integrate with the Special Economic Zones and Free Zones Law and related legislation. He also affirmed the Authority’s commitment to fostering an investment environment characterized by ease, flexibility, and stability.
In a statement to Oman News Agency, he added that the existence of an independent system for the Authority is vital for improving work procedures and systems within special economic zones, free zones, and industrial cities. This enables the Authority to fulfill its role in economic development, the development of industrial clusters, the attraction of investments, and the creation of a legislatively stable and highly competitive business environment. Such an environment is designed to support the government’s efforts in economic diversification and the achievement of local added value.
He noted that the system will enhance the Authority’s regulatory, supervisory, and monitoring roles over the zones under its jurisdiction by granting it broader powers. These powers ensure the integration of the legislative framework with the Special Economic Zones and Free Zones Law and other relevant legislation, achieving alignment between all existing special economic, free, and industrial zones, as well as any zones that may be established in the future.
Currently, work is underway to develop the Special Economic Zone in Al Dhahirah Governorate, the Special Economic Zone in Al Rawda, and the Muscat Airport Free Zone, in addition to four new industrial cities in the Wilayats of Al Mudhaibi, Al Suwaiq, Thumrait, and Madha, with the aim of accommodating diverse industrial activities and strengthening the local manufacturing base.
His Excellency Qais Mohammed Al Yousef confirmed that the powers granted by the system to the Authority will enable it to provide an integrated package of services through the “one-stop shop.”
These services include project registration and the issuance of approvals, licenses, permits, and certificates necessary for conducting economic activities. They also include regulating the provision of municipal services within the zones, approving rules for issuing non-Omani labour licenses, and determining Omanisation percentages in coordination with the Ministry of Labour. Furthermore, the Authority will regulate import and export procedures and establish the customs management system in coordination with the Royal Oman Police, contributing to the reduction of procedures, the elevation of performance efficiency, and the enhancement of the investor experience.
It is noteworthy that the Authority oversees 23 special economic zones, free zones, and industrial cities. New investments in these zones during the year 2025 exceeded approximately RO 1.4 billion, bringing the total volume of committed investment in the zones supervised by the Public Authority for Special Economic Zones and Free Zones to RO 22.4 billion, representing a growth of 6.8% compare



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