Al Duqm Waterfront Master Plan: Key Opportunities for Investors and Businesses in Oman
MUSCAT: The Public Authority for Special Economic Zones and Free Zones (OPAZ) has introduced a master plan for the Al Duqm waterfront, aiming to position the area as one of Oman’s premier tourism and mixed-use developments. This initiative is part of a concerted effort to attract fresh investments and accelerate economic diversification.
During a recent meeting attended by developers, investors, banks, and private-sector representatives, OPAZ showcased the investment opportunities within the Duqm Special Economic Zone.
Spanning 31 square kilometers along a 15-kilometer coastline, the development will merge tourism, hospitality, residential, commercial, and recreational activities into a cohesive destination. The plan capitalizes on Al Duqm’s natural beauty, including its beaches and coastal landscapes, while implementing modern urban planning principles that prioritize sustainable tourism and enhanced quality of life.
According to the development roadmap, the waterfront is projected to include over 2,600 hotel units by 2040, in addition to more than 3,700 residential units and 63,000 square meters of retail space. The project will also feature cultural, entertainment, and leisure amenities covering more than one million square meters. Officials estimate that the completed phases of the project could draw approximately 370,000 visitors annually.
This development is part of a larger strategy to diversify Al Duqm’s economic landscape beyond heavy industry, logistics, and energy. While the economic zone has already attracted significant investments in petrochemicals, manufacturing, logistics, and green energy, there is a growing emphasis on tourism as a vital complementary sector.
Leveraging Al Duqm’s strategic location between Muscat and Salalah, the waterfront project will benefit from existing infrastructure investments, which include Duqm Port, Duqm International Airport, and an expanding road network connecting the region to the rest of the country.
Investor-friendly incentives in the special economic zone are expected to stimulate interest further, offering tax exemptions that can last up to 30 years, along with 100 percent foreign ownership and land usufruct rights of up to 99 years.
By the end of 2025, committed investments in tourism projects within the economic zone are anticipated to exceed RO 853 million. Current and planned developments also encompass 21 hotels, 10 hotel apartment projects, and integrated tourism complexes featuring hotels, villas, and serviced residences.
Data from the Special Economic Zone Authority at Duqm (SEZAD) indicates that 16 tourism projects were completed by the end of last year, with an additional 11 under construction and five still in the planning phase.
Officials point out that the new waterfront strategy marks a transition from purely infrastructural development to the establishment of an integrated destination designed to attract tourists, residents, and investors.
The authority is optimistic that this project will bolster tourism’s contribution to Oman’s economy while fostering new opportunities across hospitality, retail, entertainment, and real estate sectors.
Moreover, this initiative aligns with the goals of Oman Vision 2040, which aims to broaden non-oil sectors, attract private investment, and foster sustainable economic growth.
With substantial infrastructure already established and tourism investments accelerating, authorities view the waterfront development as essential for Al Duqm’s next growth phase and a catalyst for long-term investments in one of Oman’s most strategically positioned economic zones.
Special Analysis by Omanet | Navigate Oman’s Market
The unveiling of the Al Duqm waterfront master plan signals a pivotal opportunity for businesses in Oman, particularly in the tourism and mixed-use development sectors. With substantial investment incentives and existing infrastructure, this initiative not only mitigates reliance on oil but also fosters diversification, creating a landscape ripe for entrepreneurs and investors to tap into emerging markets. Smart investors should consider positioning themselves now to leverage the anticipated growth in hospitality, retail, and real estate as the region evolves into a premier destination.
