MUSCAT: The Oman Investment Authority (OIA) is significantly advancing Oman's economic diversification and growth through its strategic investments. By allocating resources to both domestic and international markets, OIA is not only boosting the local economy but also securing financial reserves for future generations.
At the heart of OIA's domestic strategy is the National Development Fund (NDF), which oversees more than 160 companies across over 10 sectors. This diverse portfolio includes financial instruments like sukuk, treasury bills, bonds, and deposits. By investing in a wide range of assets, the NDF aims to support key sectors in Oman, ensuring sustainable economic growth and stability. This approach helps manage risks and improve returns, thereby enhancing the nation's economic resilience
Last year, the NDF's assets grew to about RO 12.175 billion, with profits exceeding RO 1.200 billion and an investment return of 11.5%. This contributed RO 800 million to the general budget and increased capital investment spending on projects to RO 2.1 billion, surpassing the target of RO 1.9 billion. Six major national projects were completed with a combined investment of over RO 4 billion.
Internationally, OIA’s Future Generations Funds (FGF) are crucial for securing Oman’s financial future. The FGF includes over 60 direct investments across various sectors and more than 185 investment funds, covering private equity, real estate, venture capital, and infrastructure. The fund also holds deposits, treasury bills, bonds, and stocks in global markets. This extensive international investment network not only generates significant returns but also fosters international partnerships and attracts foreign investments, integrating Oman further into the global economy.
A notable addition to OIA’s portfolio is the Future Fund Oman, launched on January 17, 2024, with a capital of RO 2 billion to be utilised over five years. This fund is aimed at accelerating the growth and diversification of the Omani economy. Importantly, 10% of the Future Fund Oman is allocated to small and medium-sized enterprises (7%) and startups (3%), demonstrating OIA’s commitment to innovation and entrepreneurship. The remaining 90% is invested in local projects, ensuring that the fund’s resources contribute directly to Oman’s economic development.
Last month, OIA announced that its assets have grown by more than RO 1 billion, reaching a total on RO 19.240 billion. Moreover, its profits surpassed RO 1.7 billion with investment return of 9.95 per cent.
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