OIA Increases Investments in Non-Energy Sectors: Implications for Business Growth in Oman
MUSCAT: The Oman Investment Authority (OIA) is increasingly directing its investments towards promising non-energy sectors, including logistics, manufacturing, tourism, and digital industries, to support the Sultanate of Oman’s economic diversification and align with the goals of Oman Vision 2040.
Mulham bin Basheer al Jarf, OIA’s Deputy President for Investments, highlighted that the priorities outlined in Oman Vision 2040 are now guiding the Authority’s capital deployment, allowing for the identification of dynamic opportunities for both domestic and international investors.
“We are placing greater emphasis on non-energy sectors,” Al Jarf stated. He noted that companies like the integrated energy group OQ are now self-sufficient and no longer require capital support. This shift allows OIA to utilize profits from energy-related assets to invest in logistics, tourism, and manufacturing, thereby aligning investments with Oman Vision 2040 priorities.
In an interview with The Energy Year, a UK-based business news portal, Al Jarf reiterated the Omani sovereign wealth fund’s commitment to sectors prioritized under Oman Vision 2040. These include logistics, healthcare, mining, aquaculture, tourism, and manufacturing, as well as enabling sectors like financial services and initiatives that support local supply chains.
He mentioned that current investor interest is primarily focused on green hydrogen and the broader energy transition, with renewables and clean energy gaining significant traction. Additionally, sectors such as steel, petrochemicals, tourism, and real estate are attracting considerable attention due to their strategic importance and promising growth potential, making them appealing to both local and international investors.
To enhance investment strategies in these sectors, the Authority is establishing sector-specific teams for a more dynamic approach to capital allocation. “For example, if we conduct an IPO and realize a profit, we may reinvest those proceeds to strengthen the same sector or accelerate growth in others. Our primary goal is always complementarity. We aim to enable, support, and co-invest alongside private sector players, not compete with them,” Al Jarf emphasized.
Furthermore, Al Jarf highlighted the Authority’s interest in exploring emerging fields such as fintech, AI, digitalization, and superconductors in collaboration with international partners. “These sectors represent new frontiers, and we are eager to connect with partners who bring expertise and value,” he remarked.
In addition to fostering Oman’s economic development, the OIA manages a substantial portfolio of international investments through its Future Generations Fund, which spans more than 50 countries and includes both public and private market positions. In 2024, the Authority launched the $5.2 billion Future Fund Oman (FFO) to co-invest with domestic and international partners, including SMEs, in sectors aligned with Oman Vision 2040.
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The Oman Investment Authority’s strategic shift towards funding non-energy sectors presents significant opportunities for businesses in logistics, manufacturing, tourism, and digital industries. This diversification aligns with Oman Vision 2040, creating avenues for smart investors to tap into growing markets, particularly in green technologies and emerging fields like fintech and AI. However, entrepreneurs must remain vigilant, as this evolving landscape may also bring increased competition and the need for adaptive strategies to leverage OIA’s support effectively.
