MUSCAT: The Ministry of Finance, which oversees the procurement of all projects conceived under the Oman government’s Public Private Partnership (PPP) programme, says it plans to press ahead with the delivery of a number of initiatives via the PPP route during 2025.
The PPP model empowers the Ministry of Finance to enhance private sector participation in infrastructure projects and public services. It achieves this by leveraging the investment resources, innovation and specialised expertise of private entities.
Envisaged for implementation under the 2025 General Budget are a number of educational, health, ICT and real estate related initiatives. These are either currently under development are slated for completion in 2025, according to the Ministry.
Most notable is a proposal to bring in private sector expertise in the management and operation of school buses for public schools in Oman. Under a deal signed by the Ministry of Education earlier this year, around 5,000 modern school buses will be procured from Karwa Motors, the Qatari-Omani JV behind a state-of-the-art bus assembly plant at Duqm SEZ. Deliveries are scheduled over a five-year time frame spanning the 2024-2028 period.
While these new buses, fitted out with modern in-vehicle monitoring and safety devices, will help with the phase-out of the Ministry’s older fleet, their operation, maintenance and general upkeep will be entrusted to one or more private operators under a long-term PPP arrangement.
In the health services sector, the Ministry is progressing a PPP initiative to rope in a private operator in the funding and operation of a modern drug rehabilitation centre planned in Suhar. The facility will be equipped to provide advanced levels of treatment and rehabilitative care to recovering drug addicts.
Also targeted for procurement via the PPP route is the management, operation and development of diagnostic services in Muscat, Al Batinah North and Al Batinah South Governorates — a move designed to alleviate pressure on health facilities run by the Ministry of Health.
Additionally, the private sector is anticipated to play a role in the management and operation of a Medical Supply Chain project aimed at supporting the efficient procurement, storage, distribution and management of medical supplies, equipment and pharmaceuticals.
Furthermore, with the goal of enhancing the country’s investment appeal, the Ministry of Finance recently launched a competitive tender to procure the services of a private Omani firm to develop and operate the Oman Business Platform (OBP) project on behalf of the Ministry of Commerce, Industry and Investment Promotion (MoCIIP).
Launched originally as a One-Stop-Shop in 2003, the Oman Business Platform — upon its technological and qualitative upgrade — will serve as the government’s principal digital vehicle for engagement with investors and the wider business community.
Rounding off the list of PPP initiatives envisioned for delivery this year is the Oman Business Gateway project, a mixed-use real estate development planned at Airport Heights.
At its centrepiece is the new headquarters of the Ministry of Commerce, Industry and Investment Promotion, supplemented by commercial, hospitality, residential and retail elements to create an exclusive business precinct in the area. The successful developer will also own and operate the entire hub for the duration of the usufruct agreement expected to span a 50 – 99 year time frame.
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