Tourists in Oman: How Increased Spending on Stays and F&B Boosts Business Opportunities for Investors and Entrepreneurs
Muscat: The expenditure of inbound tourists in Oman has steadily increased over the four-year period from 2020 to 2024.
Data from the National Centre for Statistics and Information (NCSI) reveals that tourist spending rose significantly, from RO 183,879 in 2020 to RO 989,107 in 2024. Of this amount, RO 307,115 was allocated to air transport services, RO 212,504 to accommodation, and RO 132,701 to food and beverage services.
Domestic tourist expenditure also saw an upward trend, increasing from RO 555,077 in 2020 to RO 833,837 in 2024. Within this, RO 225,446 was spent on accommodation, RO 323,078 on food and beverage services, and RO 100,662 on shopping.
As of 2024, Oman boasts 1,031 hotels offering a total of 35,948 rooms and employing 23,873 individuals. The hospitality workforce comprises 7,686 Omanis alongside 16,187 expatriates.
Tourism-related activities generated revenues totaling RO 1,846,324 in 2024. These revenues included RO 367,391 from hotel activities, RO 15,801 from real estate leasing, RO 446,880 from restaurants, RO 155,254 from road transport, RO 443,667 from air transport, RO 22,777 from transport equipment rental, RO 368,694 from travel agencies and reservation services, and RO 25,860 from cultural services.
Among the accommodations, there are 29 five-star hotels across Oman, including 16 in Muscat, two in North Al Batinah, one in South Al Batinah, two in Al Dhakiliyah, and eight in Dhofar.
Special Analysis by Omanet | Navigate Oman’s Market
The steady rise in tourist expenditure, especially in air transport, accommodation, and F&B sectors, signals a robust growth opportunity for Oman’s hospitality and travel industries. Businesses should capitalize on the increasing domestic and inbound tourist spending by enhancing service quality and expanding offerings, while investors should consider targeting high-end hotel developments and integrated tourism services to leverage this upward trend. However, the heavy reliance on expatriate labor in hospitality highlights a potential risk in workforce stability, urging smart entrepreneurs to invest in local talent development and automation solutions.
