Oman aims to launch new international financial centre by 2027

Oman is set to establish a new international financial centre by 2027, with the process of registering companies slated to commence later this year. The IFC Oman project, initially disclosed in January, is currently developing its legal framework, rule book, and registry system. The financial centre announced that a series of laws will be issued soon, covering business registration, licensing, financial services regulation, and an independent dispute resolution framework.

These measures will provide the necessary legal foundation for IFC Oman's authorities to implement initial regulations and rules. An online registry system, facilitating application submissions, is set to enter the testing phase shortly. Mahmood Al Aweini, chairman of the IFC Oman Authority Board, stated that the centre is making rapid progress in setting up its legal, regulatory, and digital infrastructure.

The new financial centre will provide a stable and competitive environment for global businesses and investors to operate. IFC Oman will be joining other financial centres in the Gulf, such as Abu Dhabi's ADGM, the Dubai International Financial Centre, and the King Abdullah Financial District in Riyadh, as well as the Qatar Financial Centre.

Oman is taking steps to diversify its economy away from its dependence on oil, with investments in sectors like logistics, manufacturing, and property, helping to expand its non-oil economic base. The sultanate aims to reduce its reliance on oil income from approximately 30% to 16% by 2030 and 8.4% by 2040. Additionally, Oman plans to introduce personal income tax starting in 2028, with a 5% tax rate on annual income exceeding Omani rials 42,000 ($109,134).

The country has also launched a golden visa program to attract more foreign investment. In a recent development, S&P Global Ratings raised Oman's economic growth forecast to 3.5% for the upcoming period, more than double the previous estimate of 1.6% real GDP growth. This forecast is also higher than Oman's 2.3% growth achieved in the previous year.