An inclusive, sustainable and competitive Omani economy: Pankaj Khimji
Published: 01:12 PM,Dec 08,2024 | EDITED : 05:12 PM,Dec 08,2024
An inclusive, sustainable and competitive Omani economy: Pankaj Khimji
MUSCAT: Oman has positioned itself as a global trade and investment hub as part of a broader quest to transform and diversify its economic base. In an exclusive interview, Pankaj Khimji, Advisor for Foreign Trade and International Cooperation in the Ministry of Commerce, Industry, and Investment Promotion, discussed the country's development, challenges, and goals. His views demonstrate how Oman is aligning its policies, efforts, and foreign collaborations to promote long-term economic growth consistent with Oman Vision 2040.
Oman Vision 2040: Laying the foundation for a diversified economy
Oman's growth strategy is centred on Vision 2040, a plan for turning the economy into a sustainable and diverse powerhouse. The plan's top priorities, according to Khimji, are the establishment of a highly skilled Omani workforce, job creation, and private sector development.
'In this journey, the free zones and industrial areas have been crucial,' he said. Oman is a desirable location for foreign companies because of these zones' significant incentives, which include tax exemptions and expedited business procedures. He went on to say, 'It is impossible to overestimate their contribution to improving Oman's logistical capabilities and establishing the country as a major player in international trade.'
Reforms to attract investments
Oman has improved its investment climate through bold legislative measures. These initiatives have been anchored by the Foreign Capital Investment Law, which came into force in 2020. By eliminating minimum capital limitations and permitting 100% foreign ownership, it greatly increases the country's attractiveness to foreign investors.
In addition to these legislative changes, the Invest Oman One-Stop-Shop was created to streamline investment processes and provide investors with a smooth experience. The Future Fund, which is run by the Oman Investment Authority (OIA) and co-invests in important regional initiatives, was also highlighted by Khimji. He pointed out that this has boosted investor confidence and spurred expansion in important industries.
Future Growth: Technology, sustainability, and partnerships
The foundation of Oman's forward-thinking economic policy is its dedication to international collaboration, sustainability, and technology. Plans to improve the country's digital infrastructure and incorporate renewable energy into various businesses were outlined by Khimji. By bringing Oman's industrial and commerce sectors into line with international norms, these initiatives hope to foster long-term economic stability.
One of Oman's main concerns with regard to trade has been the Comprehensive Economic Partnership Agreement (CEPA) talks with India. 'The CEPA covers investment, services, and the removal of goods tariffs,' he explained. 'It could yield substantial economic advantages for both India and Oman.' Similar accords are being aggressively pursued by Oman with other nations, especially those in Southeast Asia and East Africa. Khimji emphasised these areas as potential destinations for mutual investments and as developing markets for Omani products. These collaborations seek to lessen Oman's reliance on conventional markets and diversify its economic contacts.
Expanding free zones and industrial areas
The ongoing expansion of free zones and industrial regions is an important part of Oman's agenda. These zones not only offer financial advantages, but they help improve Oman's logistics and commerce infrastructure. Khimji emphasised that Oman's strategic location—close to major shipping lanes—gives it a distinct advantage in global trade.
'The government is keen on ensuring that these zones evolve to meet the demands of modern businesses,' said the Advisor. Investments in digitalisation and green infrastructure within these zones will keep them competitive in a fast changing global economy.
Oman's path to economic growth and diversification is evidence of its tenacity, vision, and creative policymaking.
The country is establishing a vibrant and inclusive economic framework while managing global issues under the direction of Vision 2040. Oman is establishing itself as a global leader in commerce and investment by emphasising technology, sustainability, and smart international alliances.
Khimji said, 'The reforms and initiatives we've put in place are just the beginning. Oman is dedicated to creating an economy that is inclusive, sustainable, and competitive for future generations.'
Oman Vision 2040: Laying the foundation for a diversified economy
Oman's growth strategy is centred on Vision 2040, a plan for turning the economy into a sustainable and diverse powerhouse. The plan's top priorities, according to Khimji, are the establishment of a highly skilled Omani workforce, job creation, and private sector development.
'In this journey, the free zones and industrial areas have been crucial,' he said. Oman is a desirable location for foreign companies because of these zones' significant incentives, which include tax exemptions and expedited business procedures. He went on to say, 'It is impossible to overestimate their contribution to improving Oman's logistical capabilities and establishing the country as a major player in international trade.'
Reforms to attract investments
Oman has improved its investment climate through bold legislative measures. These initiatives have been anchored by the Foreign Capital Investment Law, which came into force in 2020. By eliminating minimum capital limitations and permitting 100% foreign ownership, it greatly increases the country's attractiveness to foreign investors.
In addition to these legislative changes, the Invest Oman One-Stop-Shop was created to streamline investment processes and provide investors with a smooth experience. The Future Fund, which is run by the Oman Investment Authority (OIA) and co-invests in important regional initiatives, was also highlighted by Khimji. He pointed out that this has boosted investor confidence and spurred expansion in important industries.
Future Growth: Technology, sustainability, and partnerships
The foundation of Oman's forward-thinking economic policy is its dedication to international collaboration, sustainability, and technology. Plans to improve the country's digital infrastructure and incorporate renewable energy into various businesses were outlined by Khimji. By bringing Oman's industrial and commerce sectors into line with international norms, these initiatives hope to foster long-term economic stability.
One of Oman's main concerns with regard to trade has been the Comprehensive Economic Partnership Agreement (CEPA) talks with India. 'The CEPA covers investment, services, and the removal of goods tariffs,' he explained. 'It could yield substantial economic advantages for both India and Oman.' Similar accords are being aggressively pursued by Oman with other nations, especially those in Southeast Asia and East Africa. Khimji emphasised these areas as potential destinations for mutual investments and as developing markets for Omani products. These collaborations seek to lessen Oman's reliance on conventional markets and diversify its economic contacts.
Expanding free zones and industrial areas
The ongoing expansion of free zones and industrial regions is an important part of Oman's agenda. These zones not only offer financial advantages, but they help improve Oman's logistics and commerce infrastructure. Khimji emphasised that Oman's strategic location—close to major shipping lanes—gives it a distinct advantage in global trade.
'The government is keen on ensuring that these zones evolve to meet the demands of modern businesses,' said the Advisor. Investments in digitalisation and green infrastructure within these zones will keep them competitive in a fast changing global economy.
Oman's path to economic growth and diversification is evidence of its tenacity, vision, and creative policymaking.
The country is establishing a vibrant and inclusive economic framework while managing global issues under the direction of Vision 2040. Oman is establishing itself as a global leader in commerce and investment by emphasising technology, sustainability, and smart international alliances.
Khimji said, 'The reforms and initiatives we've put in place are just the beginning. Oman is dedicated to creating an economy that is inclusive, sustainable, and competitive for future generations.'