Oman has established one of the world’s most robust and competitive economies, with the world’s third-highest value currency. The nation’s geographical position as the only GCC country outside of the gulf makes Oman a key trading route between Europe, Asia, and Africa. Its neutral political position makes it an ideal location for companies looking for a bridge to offices in the UAE and Qatar, and an attractive prospect to those looking to expand or establish their international operations into the GCC.
In recent years, the Omani government has actively sought to encourage diversification in the country’s economy. The establishment of economic free zones, the relaxation of legislation, and the streamlining of the process for registering new entities, combined with continued economic growth, mean that outside investment in Oman is now more widely encouraged and more rewarding for investors than ever before.
Prior to 2020, the incorporation of most new business entities in Oman required an Omani partner business with at least a 30% share. Within the economic free zones of Sohar, Salalah, Al Muzunah, and the Duqm special economic zone, 100% ownership by overseas investors is now possible. Each economic free zone is aimed at attracting investment in different key economic areas and offers significant benefits to new businesses established there, including; income tax exemptions, no minimum capital requirements, and customs exemptions. These zones clear the way for a diverse array of investment and our consultants can assist in identifying the areas that best suit your business needs.
Foreign entities can also register a branch in Oman with relative ease if they in receipt of a government or semi-government contract. Tender for these contracts is open and easily accessible to overseas business, without the need for a local intermediary. The processing time for branch registration is significantly faster than other types of incorporation, though registrations will only last for the duration of the applicable contracts. Further to this, companies from other GCC nations outside of Oman are entitled to certain advantages when incorporating a new business in Oman, dealing with fewer formalities and needing to produce less identifying documentation.
At Al Ghafa, our PRO team possesses in-depth knowledge of the various business opportunities available to outside investors and the accompanying legal processes involved in incorporation. Whether you want to set up an LLC, a free zone LLC, branch, commercial agency, or joint stock company, there are opportunities in Oman for businesses of all sizes. For more information on our PRO services, please visit our PRO/Government liaising page. For a more detailed analysis of how we can help your business grow into Oman, please contact us with a brief outline of your proposed project, and our expert team will be more than happy to respond promptly with more information.