Boosting SME investment in Oman’s tourism sector
Published: 02:11 PM,Nov 13,2024 | EDITED : 06:11 PM,Nov 13,2024
MUSCAT: The Small and Medium Enterprises Development Authority (SMEDA) recently hosted a dialogue session titled 'Enhancing SME Investment in the Tourism Sector,' focusing on strengthening the participation of small and medium enterprises (SMEs) in Oman’s growing tourism industry. This marks the fourth in a series of discussions aimed at refining the business environment, implementing supportive policies, and motivating entrepreneurs to bring innovative ideas to the tourism market.
The session, designed to foster collaboration between government entities and SME stakeholders, addressed four key areas essential for developing the tourism sector: supportive policies and legislation, regulatory standards for quality and safety, operational guidelines and licensing processes, and the role of financing and investment programs. It also discussed how to enhance the role of incubators, accelerators, and training initiatives that can enable SMEs to succeed in the tourism space.
Azzan bin Qasim al Busaidi, Under-Secretary of Tourism at the Ministry of Heritage and Tourism, highlighted the session's role in bridging the gap between SMEs and the ministry’s tourism programs. Al Busaidi noted that the ministry has developed initiatives specifically beneficial to small enterprises, including an integrated management plan for the Eastern Sands area. This initiative aims to protect the region’s unique ecosystem while creating tourism opportunities focused on high-value, low-impact tourism. Updated investment opportunities for complementary projects in the Eastern Sands region will also contribute to increased competitiveness and economic growth.
Al Busaidi shared that the Ministry is also opening up new avenues for SMEs in heritage tourism. The government has introduced investment opportunities for Omani SMEs to manage and operate various historical and heritage sites, expanding their role in the cultural tourism landscape. The move aligns with Oman’s vision of engaging more local businesses in preserving and promoting its heritage, providing a platform for SMEs to thrive.
The dialogue session resulted in actionable recommendations to ease SME entry into the tourism sector. Key suggestions included making tourism-related licensing laws more flexible, raising awareness of tourism's importance, and supporting SMEs by securing tourism contracts, reducing taxes, and enhancing financial incentives. The aim is to empower SMEs to become vital players in Oman’s tourism growth story.
PASME statistics reveal that by the end of October this year, around 4,595 SMEs were registered in the tourism sector. These include 3,668 micro-enterprises, 839 small enterprises, and 88 medium enterprises. To further support these businesses, twelve loans were approved through the Al-Azm portfolio, totaling approximately RO 1 million. Additional funding has also been made available through the Al-Rafd Fund, which has financed 69 tourism projects, amounting to RO 2.2 million.
The session was attended by key officials, including Salim bin Mohammed al Mahrouqi, Minister of Heritage and Tourism; Halima bint Rashid al Zar’i, Chairperson of SMEDA; and Hussain bin Ali al Lawati, CEO of Oman Development Bank, along with various SME owners in the tourism sector. This dialogue session builds on previous discussions focused on financing SMEs, promoting SMEs in food security, and exploring health sector opportunities, all aimed at unlocking the potential of Oman’s SME sector.
The session, designed to foster collaboration between government entities and SME stakeholders, addressed four key areas essential for developing the tourism sector: supportive policies and legislation, regulatory standards for quality and safety, operational guidelines and licensing processes, and the role of financing and investment programs. It also discussed how to enhance the role of incubators, accelerators, and training initiatives that can enable SMEs to succeed in the tourism space.
Azzan bin Qasim al Busaidi, Under-Secretary of Tourism at the Ministry of Heritage and Tourism, highlighted the session's role in bridging the gap between SMEs and the ministry’s tourism programs. Al Busaidi noted that the ministry has developed initiatives specifically beneficial to small enterprises, including an integrated management plan for the Eastern Sands area. This initiative aims to protect the region’s unique ecosystem while creating tourism opportunities focused on high-value, low-impact tourism. Updated investment opportunities for complementary projects in the Eastern Sands region will also contribute to increased competitiveness and economic growth.
Al Busaidi shared that the Ministry is also opening up new avenues for SMEs in heritage tourism. The government has introduced investment opportunities for Omani SMEs to manage and operate various historical and heritage sites, expanding their role in the cultural tourism landscape. The move aligns with Oman’s vision of engaging more local businesses in preserving and promoting its heritage, providing a platform for SMEs to thrive.
The dialogue session resulted in actionable recommendations to ease SME entry into the tourism sector. Key suggestions included making tourism-related licensing laws more flexible, raising awareness of tourism's importance, and supporting SMEs by securing tourism contracts, reducing taxes, and enhancing financial incentives. The aim is to empower SMEs to become vital players in Oman’s tourism growth story.
PASME statistics reveal that by the end of October this year, around 4,595 SMEs were registered in the tourism sector. These include 3,668 micro-enterprises, 839 small enterprises, and 88 medium enterprises. To further support these businesses, twelve loans were approved through the Al-Azm portfolio, totaling approximately RO 1 million. Additional funding has also been made available through the Al-Rafd Fund, which has financed 69 tourism projects, amounting to RO 2.2 million.
The session was attended by key officials, including Salim bin Mohammed al Mahrouqi, Minister of Heritage and Tourism; Halima bint Rashid al Zar’i, Chairperson of SMEDA; and Hussain bin Ali al Lawati, CEO of Oman Development Bank, along with various SME owners in the tourism sector. This dialogue session builds on previous discussions focused on financing SMEs, promoting SMEs in food security, and exploring health sector opportunities, all aimed at unlocking the potential of Oman’s SME sector.