Oman’s Government Unveils Aviation Sector Roadmap: Key Opportunities and Challenges for Investors and Businesses
MUSCAT: Eng Said bin Hamoud al Maawali, Minister of Transport, Communications and Information Technology, on Monday unveiled the strategic road map for Oman’s key aviation sector stakeholders, including Oman Air, SalamAir, Oman Airports, and the ground handling company Transom.
Highlighting Oman’s pivotal role amid regional geopolitical challenges, the minister emphasized the country’s success in maintaining uninterrupted supply chains and facilitating air travel. He assured that ongoing crises are unlikely to affect the airlines significantly, despite concerns such as rising jet fuel prices and booking cancellations.
Addressing the media, Eng Said noted the sector’s expanded focus beyond Oman Air to encompass Oman Airports, which has begun exporting its services to emerging markets such as Tanzania, Iraq, and Rwanda. Regarding Oman Air’s progress, he stated, “The company’s restructuring is advancing well, currently 12 months ahead of schedule. In 2025, Oman Air achieved a positive EBITDA for the first time since 2009.” The minister reaffirmed efforts to keep the airline financially robust despite regional challenges.
Following its government acquisition, SalamAir will strategically complement Oman Air by operating as a separate brand focused on low-cost travel, offering affordable options to price-sensitive travelers. Oman Air will continue to provide full-service, premium travel. This dual-brand approach is expected to enhance national air connectivity and broaden destination options.
The minister also revealed that the Maintenance, Repair, and Operations (MRO) facility will become operational this year. New regional aviation services targeting tourist destinations are slated for launch, and oilfield airports at Marmul, Mukhaizna, and Fahud will soon be accessible to civilian flights.
The ambitious Muscat Airport City project aims to transform Oman into a regional air logistics hub, integrating logistics, commercial, and tourism services into a cohesive ecosystem, thereby expanding the economic impact of the aviation sector beyond passenger flights.
Oman Airports reported notable growth, handling approximately 15.2 million passengers through its network and registering a 4% increase in air cargo traffic, indicative of growing demand and enhanced operational efficiency.
Oman Air posted an EBITDA of RO 3.2 million in 2025, marking its first positive earnings in 15 years. The airline also reduced its bank loans by RO 27 million—the first debt decline since 2009—and achieved a 6% reduction in Cost Per Available Seat Kilometre (CASK), driven by ongoing transformation initiatives. Passenger numbers rose by 8% to 5.8 million, with an 82% load factor resulting from optimized network and fleet utilization. Additionally, point-to-point flights increased by 34% year-on-year as part of efforts to boost tourism.
SalamAir reinforced its status as Oman’s leading low-cost carrier in 2025, transporting over 3.4 million passengers and operating more than 22,000 flights across 40+ destinations. The airline maintained an on-time performance rate of 83% and achieved a Net Promoter Score (NPS) of +17, reflecting rising customer satisfaction.
These developments collectively signal a strong, forward-moving aviation sector in Oman, well-positioned amid regional challenges to support economic growth and connectivity.
Special Analysis by Omanet | Navigate Oman’s Market
Oman’s aviation sector is strategically positioned for robust growth, with Oman Air achieving positive EBITDA for the first time in 15 years and SalamAir expanding as a strong low-cost carrier. This dual-brand strategy, combined with enhanced airport services and regional market expansion, presents significant opportunities for investors and businesses aiming to capitalize on increased passenger traffic, cargo growth, and the upcoming Muscat Airport City logistics hub. Smart investors should consider the evolving aviation ecosystem as a gateway to Oman’s broader economic diversification and tourism ambitions, while monitoring geopolitical risks that could influence regional supply chains.
