MUSCAT: Muscat is becoming as a major hub for Middle East and North African (Mena) region businesses, according to a new Startup Genome analysis. With an ecosystem worth estimated at around $343 million, the Omani capital has managed to achieve a seat among the top 10 ecosystems for affordable talent, top 15 for optimising investment returns, and top 15 for knowledge.
Startup Genome said that a combination of regional and global venture capital firms, angel investors, and government programmes are creating a vibrant startup climate in Muscat. An abundance of talented, entrepreneurially-minded engineering and business graduates contributes to the city's favourable business environment. Muscat has a wide range of expertise, including marketers, designers, software developers, and business strategists.
Oman's Vision 2040 is a blueprint designed to lessen the country's reliance on oil while promoting a diversified, sustainable economy. $39 billion in investments, including 6,500 industrial projects expected to generate 270,000 new jobs, support this objective, Startup Genome added. The Oman Vision 2040 initiatives aim to identify important industries for development, boost competitiveness, and encourage innovation. To act as centers for trade and investment, Special Economic Zones as well as Industrial and Logistics Zones are being created. As a premier logistics project, Duqm Free Zone is distinguished by its deep-sea port, airport, and vast industrial and commercial facilities.
Last month, the Ministry of Transport, Communications, and Information Technology signed an agreement to operate the Oman Startup Platform (OSH Platform) with Al-Jabr Mena at the COMEX 2024 exhibition, marking a significant development. Through the creation of a venue where companies can interact with funders, advisors, and fellow entrepreneurs, this programme seeks to boost the tech startup ecosystem. The platform provides a thorough synopsis of the ecosystem, outlining the requirements of startups and enumerating associated activities and events.
With over $330 million in funding, the OSH Platform is home to 167 businesses and 47 incubators, accelerators, and growth sponsors. The Promising Omani Startups Program Supervisory Committee announced in April 2024 the establishment of the Oman Future Fund, a new venture capital fund that will inject $5.2 billion over the course of five years into the ecosystem to boost local SMEs and draw in foreign investment. In addition, the $180 million Jasoor Fund was launched by the Oman Investment Authority and Abu Dhabi's ADQ with the goal of advancing the digital economy by funding $8 billion worth of technology-related possibilities in Oman.
Asyad Group, a logistics provider, and Omantel, a major national telecom company, collaborated to develop an accelerator program that aims to support local tech companies in the logistics industry. With 1,500 attendees, the Promising Omani businesses Forum in December 2023 in Muscat demonstrated the dynamic and encouraging atmosphere for businesses in Oman.
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