OMN Oman profile

Oman operates as a sultanate with centralized authority anchored in the royal family. The administrative system is hierarchical, with decision making concentrated in top authorities, and reform efforts aimed at efficiency and governance improvement. Political pluralism is limited, and consultative bodies have constrained influence. The legal framework blends civil codes with Sharia principles, creating a system where civil society space and media independence are restrained. Accountability and transparency practices are uneven, and anti corruption measures exist but are not consistently implemented. Security and stability are prioritized in policy, while external diplomacy seeks cautious engagement with regional partners. Succession and policy continuity are managed within a framework of long standing governance norms.

Colonial history Oman has a history of being a maritime empire and resisting colonial rule.
Former colonizer No significant colonial power; strong maritime presence historically.
Government type Absolute monarchy
Legal system Mixed legal system (Islamic and civil law)
Political stability Generally stable

The economy relies heavily on extractive sectors, with formal plans to broaden activity in non oil areas. Diversification targets focus on logistics, tourism, manufacturing, mining, and fisheries, supported by state guided investment and strategic zones. Private sector development faces regulatory complexity, cost of doing business, and gaps in skills, which can limit growth and innovation. Public investment funds infrastructure and capacity expansion in ports, airports, and industrial clusters, while fiscal space depends on commodity cycles and debt management. Foreign investment is pursued through policy adjustments and partnerships, yet market access, competition norms, and commercial risk remain evolving. Social and regional disparities endure, and job creation for nationals is a continuous policy objective alongside integration of expatriate labor.

Currency name Omani Rial
Economic system Mixed economy
Informal economy presence Moderate
Key industries Oil and gas, Tourism, Fisheries
Trade orientation Export-oriented, primarily oil and gas

The country features a blend of coast, mountains, and arid interior, shaping settlement, land use, and resource management. Water stress and arid conditions influence agriculture, urban planning, and resilience strategies. Coastal and marine environments support fisheries and tourism but require environmental oversight to prevent degradation. Conservation initiatives protect key ecosystems, though development projects pose trade offs for biodiversity and habitat quality. There is potential for renewable energy development, especially solar and wind, paired with modernization of water and energy infrastructure. Climate adaptation, disaster risk management, and sustainable land use are ongoing priorities.

Bordering countries United Arab Emirates, Saudi Arabia, Yemen
Climate type Desert climate
Continent Asia
Environmental Issues Water scarcity, Desertification
Landlocked No
Natural Hazards Dust storms, Flash floods
Natural resources Oil, natural gas, minerals, fish
Terrain type Mountainous, coastal plains, desert

Demographic composition includes citizens alongside a sizable expatriate workforce, affecting housing, education, and social policy. Education and health services are central to development goals, with ongoing efforts to raise quality and access while aligning with labor market needs. Gender roles and workforce participation are evolving, but social norms and institutional practices can still impede progress. Urbanization drives housing demand, infrastructure needs, and social cohesion challenges. Cultural heritage and modernization coexist in public life and tourism, with media and civil society operating under certain constraints. Civil liberties are restricted in some areas, and freedom of association and expression are limited by policy and regulatory context. Migration patterns and remittance flows shape household economies and community networks.

Cultural heritage Rich maritime history, traditional music and dance, forts and castles
Driving side Right
Education system type Public education system with free primary and secondary education
Ethnic composition Arab, Baluchi, Zanzibari
Family structure Extended family structures are common
Healthcare model Public healthcare system
Major religions Islam
Official languages Arabic

Infrastructure spans roads, ports, airports, and urban utilities to support mobility and trade, with expansion driven by public investment and private involvement. Energy and water systems face stress from growth and climate variability, prompting efficiency upgrades and resilience planning. Telecommunications and digital services are expanding, accompanied by efforts in e governance, online service delivery, and broader internet access. The technology landscape includes local initiatives and international partnerships, but access and quality vary across regions and sectors. Maintenance and modernization of aging assets remain a priority, as does integrating technology into education, health, and public administration. Regulatory frameworks for investment, competition, and data security are evolving to attract investment while safeguarding critical infrastructure and user data.

Internet censorship level Moderate
Tech innovation level Emerging
Transport system type Developing road and air transport, limited public transport

Development indicators

Indicator Year Value Rank 5Y Rank Change
Military expenditure (current US$) 2023 5,851,755,527 36 +11
Political Stability and Absence of Violence/Terrorism 2023 0.587 63 +1
Regulatory Quality 2023 0.435 62 -12
Rule of Law 2023 0.613 55 -7
Unemployment, total (% of total labor force) 2022 3.3 91
Birth rate, crude (per 1,000 people) 2023 16.8 92 0
Death rate, crude (per 1,000 people) 2023 1.9 195 +1
Exports of goods and services (% of GDP) 2023 61.1 36 -19
GDP per capita (current US$) 2024 20,248 56 -8
GDP per capita, PPP (current international US$) 2024 41,664 53 +4
High-technology exports (current US$) 2023 441,801,906 64 -21
Imports of goods and services (% of GDP) 2023 44.8 86 -21
Inflation, consumer prices (annual %) 2023 0.951 164 +8
Life expectancy at birth, total (years) 2023 80 51 +3
Mortality rate, under-5 (per 1,000 live births) 2023 10.4 109 -3
Net migration 2024 154,219 11 -193
Patent applications, residents 2021 30 80 -18
Population, total 2024 5,281,538 124 -1
Prevalence of undernourishment (% of population) 2022 5.7 71 +8
Renewable energy consumption (% of total final energy consumption) 2021 0.1 170 +3
Research and development expenditure (% of GDP) 2023 0.367 10 -62
Foreign direct investment, net inflows (% of GDP) 2023 11.8 14 -14
Current account balance (% of GDP) 2023 2.49 44 -81
Level of water stress: freshwater withdrawal as a proportion of available freshwater resources 2021 117 16 +2
Total greenhouse gas emissions excluding LULUCF per capita (t CO2e/capita) 2023 25.2 7 0
Current health expenditure (% of GDP) 2022 2.92 177 +20
Domestic general government health expenditure per capita, PPP (current international US$) 2022 994 68 +17
Physicians (per 1,000 people) 2022 2.06 21 -49
Suicide mortality rate (per 100,000 population) 2021 0.91 171 +6
Individuals using the Internet (% of population) 2024 95.3 3 -15
Control of Corruption 2023 0.215 71 -1
Government Effectiveness 2023 0.275 70 -7
Logistics performance index: Quality of trade and transport-related infrastructure (1=low to 5=high) 2022 3.2 14

Demography and Health

Oman’s population stands at about 5.28 million in 2024, with a life expectancy at birth of 80.0 years (rank 51), signaling strong health outcomes and widespread access to medical services. The population is augmented by positive net migration of roughly 154,000 in 2024, underscoring Oman’s attractiveness to foreign workers and its role as a regional hub for labor markets. The birth rate is 16.8 per 1,000 people (rank 92) and the crude death rate is 1.9 per 1,000 people (rank 195), indicating a relatively favorable demographic balance and an aging trend that may intensify future demand for health and social services. Unemployment is low at 3.3% (2022, rank 91), suggesting a healthy labor market backdrop for households. Under-5 mortality is 10.4 per 1,000 live births (rank 109), reflecting progress in child health, though room remains for ongoing improvements. The prevalence of undernourishment is 5.7% (rank 71), indicating nutritional challenges are not widespread but warrant continued attention in vulnerable groups and rural areas. Oman’s health system is buttressed by 2.06 physicians per 1,000 people (2022, rank 21) and domestic general government health expenditure per capita, PPP of $994 (2022, rank 68), while current health expenditure accounts for 2.92% of GDP (2022, rank 177), signaling a relatively modest share of GDP devoted to health that could constrain service expansion or quality improvements without efficiency gains or targeted funding. Internet usage is exceptionally high, with 95.3% of the population online in 2024 (rank 3), offering powerful channels for health information, telemedicine, and public health campaigns. Taken together, these indicators point to a country with solid health outcomes and digital connectivity, but with environmental constraints and resource pressures that shape health policy and service delivery.

Economy

Oman's economy displays a high-income profile, with GDP per capita at about $20,248 in 2024 (current US$) and a PPP-adjusted figure of about $41,664. The economy is relatively open, as exports of goods and services amount to 61.1% of GDP in 2023 while imports represent 44.8% of GDP, reflecting significant trade exposure and integration with regional and international markets. Inflation remains subdued at about 0.95% in 2023, supporting price stability and consumer purchasing power. Research and development activity is modest but notable for an upper-middle-income country, with R&D expenditure at 0.367% of GDP in 2023 (rank 10) and 30 resident patent applications in 2021 (rank 80), signaling ongoing but limited innovation dynamics. High-technology exports reach approximately $442 million in 2023, indicating participation in advanced sectors but still concentrated beyond traditional oil and gas industries. Foreign direct investment net inflows amount to 11.8% of GDP in 2023 (rank 14), highlighting a favorable climate for investment and diversification. Net migration stands at about 154,000 in 2024, reinforcing labor mobility and potential downstream impacts on the economy. The current account balance is 2.49% of GDP in 2023, suggesting a modest external surplus that can support macro stability. Overall, Oman’s economy combines a high-income profile with strong trade openness, recent investment inflows, and gradual diversification needs amid energy-sector reliance and sustainability considerations.

Trade and Investment

Oman demonstrates a clearly trade- and investment-oriented trajectory. Exports of goods and services account for 61.1% of GDP in 2023, while imports comprise 44.8% of GDP, underscoring a substantial trade footprint and a readiness to participate in regional value chains. The country’s logistics infrastructure supports trade, evidenced by a Logistics Performance Index of 3.2 in 2022, ranking 14th for quality of trade and transport-related infrastructure, which facilitates efficient cross-border movement of goods. Foreign direct investment net inflows amount to 11.8% of GDP in 2023, indicating strong investor interest and potential for downstream diversification into non-oil sectors. The current account balance at 2.49% of GDP reinforces macro stability that can attract sustained investment and reserve adequacy. While high-technology exports are a minority share of total trade, R&D expenditure at 0.367% of GDP in 2023 and resident patent activity (30 applications in 2021) signal gradual progress toward a knowledge-based economy. These dynamics point to Oman’s ongoing push to broaden the economic base, improve value addition, and strengthen the investment climate while maintaining an openness crucial for growth and resilience.

Governance and Institutions

Oman’s governance indicators portray a country with relative political stability and functional institutions, essential for predictable policy-making and long-term development. Political Stability and Absence of Violence/Terrorism is 0.587 (2023), Regulatory Quality is 0.435, and Rule of Law is 0.613, indicating a reasonably stable environment with credible legal and regulatory frameworks. Control of Corruption registers at 0.215 and Government Effectiveness at 0.275, suggesting moderate performance and room for improvement in administrative capacity, transparency, and service delivery. These indicators collectively reflect a governance landscape capable of sustaining reform, attracting investment, and supporting public sector modernization, while highlighting opportunities to strengthen anti-corruption efforts, institutional accountability, and the efficiency of government services as Oman pursues diversification and social development goals.

Infrastructure and Technology

Oman benefits from strong digital and infrastructural foundations. Internet penetration stands at 95.3% in 2024, placing Oman among the world leaders in online access and enabling broad-based use of e-government, digital services, and online commerce. The Logistics Performance Index of 3.2 (2022) indicates a solid level of logistical capabilities, contributing to efficient trade flows and regional connectivity. Research and development expenditure reaches 0.367% of GDP in 2023, with patent activity (30 resident applications in 2021) suggesting a developing innovation ecosystem. Healthcare capacity is reflected by 2.06 physicians per 1,000 people (2022), and domestic health expenditure per capita in PPP terms is about $994 (2022), indicating a reasonably provisioned health sector within the broader spending envelope. On the energy and environment front, renewable energy consumption remains very low at 0.1% of total final energy consumption (2021), highlighting a strong dependence on fossil fuels, while total greenhouse gas emissions per capita are high at 25.2 t CO2e (2023), signaling substantial energy intensity. These factors together paint a picture of a technologically capable, digitally connected country with solid infrastructure, yet facing significant challenges in accelerating energy transition and reducing carbon intensity.

Environment and Sustainability

Oman faces pressing environmental and sustainability challenges alongside development gains. Water scarcity is acute, with the level of water stress measured as freshwater withdrawal relative to resources at 117.0 in 2021, ranking 16th, underscoring the urgency of water governance, desalination capacity, and efficiency measures in agriculture and industry. Total greenhouse gas emissions per capita are high, at 25.2 t CO2e in 2023 (rank 7), reflecting the energy-intensive nature of the economy and reliance on oil and gas. Renewable energy penetration remains minimal, with renewables accounting for only 0.1% of total final energy consumption in 2021 (rank 170), signaling a critical area for climate and energy policy transformation. Conversely, health and education indicators—such as life expectancy around 80 years—support social resilience and development outcomes. The prevalence of undernourishment is 5.7% (2022), indicating a relatively contained but vulnerable dimension of food security. Oman’s environmental trajectory thus combines substantial resource and emissions challenges with clear opportunities through digitalization, governance capacity, and potential for policy-led energy and water reforms aimed at sustainable growth.