OIA Divestments Surpass RO 2.8 Billion: Key Implications for Investors and Business Growth in Oman
MUSCAT, MAY 18 — The Oman Investment Authority’s (OIA) divestment program has generated returns exceeding RO 2.8 billion by the end of 2025, underscoring the sovereign wealth fund’s commitment to recycling capital, attracting private investment, and reallocating resources into higher-value opportunities. These achievements were detailed at OIA’s media summit held Monday at The St Regis Al Mouj Muscat Resort.
Launched in 2022, the program completed 24 divestments by the close of 2025. The proceeds from these transactions have been strategically reinvested to support Oman’s economic diversification and financial sustainability goals.
In 2025 alone, OIA exceeded its annual target by completing six divestments, demonstrating its proactive approach to portfolio management. The transactions spanned initial public offerings (IPOs), direct exits, and strategic partnerships across multiple sectors.
A highlight was the IPO of a 20 percent stake in Asyad Shipping Company, designed to broaden the investor base and enhance market liquidity. Additionally, OIA fully divested its 10 percent stake in Oman Tower Company and exited 69 percent of Sohar Sulphur Fertiliser Company, reallocating investments to sectors with stronger long-term return potential.
Other significant moves included the partial sale of Oman Flour Mills Company through the divestment of 20 percent of Oman Food Capital’s total 51 percent stake. OIA also divested 11.4 percent of its stake in Asyad Container Terminal to improve asset efficiency and encourage greater private sector participation.
A strategic partnership in the Shuwaimiyah Project involved the partial divestment of 49 percent of the quarry and 51 percent of the port assets, aimed at attracting quality investments while maximizing economic impact.
OIA emphasized that the divestment program is part of a broader strategy to empower the private sector, draw foreign capital, and bolster economic diversification.
The authority also reported significant progress in transforming state-owned enterprises under its management since 2020. Following comprehensive assessments and targeted reforms, several companies have achieved profitability for the first time in over two decades, thanks to improved governance, operational efficiency, and financial performance.
In 2025, OIA further extended its role in economic diplomacy by participating in key state visits led by His Majesty Sultan Haitham bin Tarik to the Netherlands, Algeria, Russia, Spain, and Belarus. These visits resulted in agreements spanning green methanol, LNG, infrastructure, renewable energy, mining, and water management sectors.
OIA also expanded cooperation with nations such as Burkina Faso, Botswana, Mongolia, and Hong Kong, engaging in agreements and investment discussions focused on mining, agriculture, renewable energy, and trade.
Meanwhile, Future Fund Oman (FFO), established with a capital base of RO 2 billion, maintained strong support for investment activities within Oman. Since inception, the fund has received 668 investment applications and approved 186 projects, including major ventures, SMEs, and startups. Approved investments reached approximately RO 640 million, while foreign investments attracted totaled an estimated RO 743 million.
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Oman Investment Authority’s successful divestment programme, generating over RO 2.8 billion by 2025, signals a strategic shift towards capital recycling and economic diversification, creating fertile ground for private sector growth and foreign investment in high-value sectors. Smart investors and entrepreneurs should capitalize on emerging opportunities in infrastructure, renewable energy, and strategic partnerships that align with Oman’s evolving economic landscape while remaining attentive to ongoing government reforms and foreign collaboration initiatives that enhance market stability and profitability.
