Oman’s GDP Grows by 2.1%: What This Means for Investors and Businesses in the Sultanate
Muscat: The Sultanate of Oman experienced a 2.1 percent growth in its Gross Domestic Product (GDP) at constant prices in the second quarter of 2025. The GDP reached RO 9,363.5 million, up from RO 9,168.9 million during the same period in 2024.
Preliminary data from the National Centre for Statistics and Information (NCSI) highlights that this growth is largely due to a 3.8 percent increase in the value added by non-petroleum activities, which totaled RO 6,862.5 million by the end of the second quarter this year, compared to RO 6,611.6 million in the second quarter of 2024.
The breakdown of economic activities shows significant growth in several sectors. Agriculture and fishing activities experienced a notable increase of 12.5 percent, reaching RO 307.4 million, compared to RO 273.3 million in 2024.
Industrial activities grew modestly by 0.2 percent, contributing RO 1,970.5 million, up from RO 1,967.3 million the previous year.
Meanwhile, service activities expanded by 4.9 percent, totaling RO 4,584.6 million, compared to RO 4,371.0 million in the same quarter last year.
In terms of petroleum activities, there was a slight increase of 0.5 percent, with contributions reaching RO 2,976.1 million compared to RO 2,961.5 million in the second quarter of 2024.
Within the petroleum sector, Oman’s crude oil production saw a slight rise of 0.9 percent, contributing RO 2,493.5 million to the GDP at constant prices, compared to RO 2,471.6 million the previous year. Conversely, natural gas activities experienced a decline of 1.5 percent, with contributions falling to RO 482.6 million, down from RO 489.9 million in the previous year.
Special Analysis by Omanet | Navigate Oman’s Market
The recent 2.1% GDP growth in Oman, primarily driven by a 3.8% increase in non-petroleum activities, signals robust opportunities for businesses, especially in the agriculture, fishing, and services sectors. This shift toward diversification presents potential for innovative startups and strategic investments in emerging industries, but investors should remain cautious of the sluggish performance in petroleum and industrial activities. Smart entrepreneurs should now consider aligning with the government’s diversification goals to capitalize on growing sectors while monitoring fluctuations in oil and gas contributions to GDP.
