Oman plans PPP program due to oil prices crisis

Subscribe to our newsletter and get the latest news and business opportunities in your inbox
Oman plans PPP program due to oil prices crisis

Due to lower oil prices, Oman has plans to boost the use of the public private partnership (PPP) model to mobilize infrastructure investments from the private sector.

According to local sources, due to the fact that oil revenues in Oman are falling, the government is currently developing a new investment law and frameworks for PPP and private investments for wastewater, health, housing schemes. These measures aim to reduce the the financial burden of public services and promote the private sector.

Additionally, the government is developing the 9th five-year plan for 2016 to 2020, which is expected to involve the private sector. The proposed plan will focus on logistics and transportation, manufacturing, minerals, tourism, and agriculture & fisheries.

Dr Ali Massoud Al Sunaidy, the Minister of Commerce & Industry of Oman, stated:

"In the future, our experience in liberalising power generation, water production and communications will pave the way for the privatization of other service and utilities. In the discussions of the 9th five-year plan, there is no better time to drive privatization further, and provide the foundation for a new era of public private partnership."

This year we have reported on three PPP projects in the country: the Duqm permanent accommodation for contractors (PAC) project, the Sohar independent water project (IWP), and the Barka independent water project (IWP).

Share this news