No Contracts for Non-Compliant Companies: How Tender Board’s Omanisation Rates Affect Your Business Opportunities
Muscat: The General Secretariat of the Tender Board has released Circular No. (2025/2), instructing all ministries and government entities governed by the Tender Law to completely avoid contracting with private sector companies that do not comply with government-mandated Omanisation rates.
According to the circular, governmental bodies are mandated to implement the following procedures:
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All tender documents, prior to their issuance, must include a clause regarding Omanisation compliance and the employment of national workers, following the official template provided.
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Before awarding any contracts, entities must ensure that the bidding companies satisfy Omanisation requirements through the electronic tendering system (Isnad), which is integrated with the Ministry of Labour’s database.
- For international companies and institutions not registered in Oman but participating in international tenders, adherence to Omanisation obligations will be monitored after contract awards and during the execution phase, in accordance with the local content plan.
This circular reinforces the government’s dedication to enhancing employment opportunities for Omani nationals and ensuring that public procurement aligns with the country’s strategic workforce development goals.
Special Analysis by Omanet | Navigate Oman’s Market
The recent circular from the General Secretariat of the Tender Board mandating Omanisation compliance before awarding government contracts signals a shift toward prioritizing local employment. This creates opportunities for local businesses to thrive in a supportive environment, while also posing a risk for international firms that may find it challenging to navigate these new restrictions. Smart investors and entrepreneurs should focus on enhancing their Omanisation strategies and partnerships with local talent to remain competitive in this evolving landscape.
