Oman Labour Market Growth: What the Declining Jobseeker Rate Means for Investors and Entrepreneurs
MUSCAT: Oman’s labour market demonstrated continued improvement in 2025, with total employment rising and the jobseeker rate declining, according to official data.
Total employment grew by 1.5 percent, reaching approximately 2.7 million workers, driven by sustained economic activity across key sectors. The jobseeker rate fell to 3.1 percent from 3.3 percent the previous year, indicating steady progress in addressing labour market challenges.
Expatriates constituted 67.1 percent of the workforce, while Omanis made up 32.9 percent. The private sector remained the dominant employer, providing 68.4 percent of all jobs. Notably, Omanis represented 21.8 percent of employees in private and family-run businesses, compared to 90.2 percent in government jobs.
These figures suggest positive economic momentum supported by investment, private-sector dynamism, and labour policies aligned with Oman Vision 2040. However, the next key challenge lies in not only creating jobs but also facilitating the transition of more Omanis into productive, specialised, and higher-value roles within the private sector.
Skills development remains crucial. Approximately 54.9 percent of workers possess qualifications below the General Diploma level, while expatriates continue to fill many specialised and senior technical positions. In private-sector engineering roles, expatriates hold over 90 percent of senior positions, underscoring the urgency of enhancing national capabilities in technical fields.
In contrast, new government recruits tend to be more highly qualified, with 47.1 percent holding a bachelor’s degree or equivalent. This highlights the necessity for stronger alignment between education, training, and private-sector requirements.
Employment remained concentrated in Muscat Governorate, which accounted for 32.7 percent of total jobs, followed by Al Batinah North Governorate with 16.4 percent.
Overall, the labour market is expanding and showing gradual improvement. The policy focus now is to deepen Omanisation in quality private-sector roles, improve skills matching, and ensure that economic growth generates enhanced opportunities for citizens throughout Oman.
Special Analysis by Omanet | Navigate Oman’s Market
Oman’s labour market growth and declining jobseeker rate signal an improving economic landscape, driven by private-sector expansion and government-aligned policies under Vision 2040. However, the heavy reliance on expatriates for specialised roles highlights a critical opportunity for businesses to invest in upskilling Omanis, particularly in technical and high-value sectors. Smart investors and entrepreneurs should prioritize ventures that support education-to-employment alignment and create quality jobs for Omani nationals to capitalize on this evolving market dynamic.
