Business

Oman unveils new e-commerce regulatory framework

 
MUSCAT: The Ministry of Commerce, Industry, and Investment Promotion has issued a regulatory framework governing e-commerce activity in the Sultanate of Oman.

Under Ministerial Decision No. 499/2023, individuals and commercial establishments must now apply for an e-commerce licence before offering the service.

According to a statement by the Ministry, the framework was introduced to establish a legal and regulatory environment to develop, regulate and promote e-commerce in Oman.

Furthermore, the Ministry hopes to closely monitor the activities of e-stores in an effort to reduce online frauds and scams.

Earlier this year, an advisory research firm identified e-commerce as one of the top three most promising sectors for emerging businesses in Oman.

According to market research firm Statista, the e-commerce market in Oman generated $657.1 million in revenue in 2020.

This figure is expected to increase by 5.7 percent by 2025, reaching $867.7 million.

According to ONA, the introduction of the framework is the result of a National E-commerce Plan, a strategy designed to place Oman as a regional hub for e-commerce, as part of a wider economic diversification strategy.

Future phases of the plan include the establishment of an e-commerce complex, and developing the necessary infrastructure to support the sector.

The new framework will require online stores to protect consumer data. According to the regulations, vendors must maintain the confidentiality of consumer data and disclose measures taken to protect the data. In a case of a breach, vendors must immediately contact relevant authorities.

Vendors must also provide a clear framework for receiving and handling consumer complaints, an exchange and return policy on par with current laws, and contact information.