Oman plans to launch a $5.2 billion (OMR2 bn) public investment fund, the Oman Future Fund, aimed at reducing the country’s reliance on oil and supporting economic growth. Additionally, a new city, Sultan Haitham City, will be built on the outskirts of Muscat to provide affordable housing and amenities for up to 100,000 residents.
According to state media, Sultan Haitham bin Tariq Al Said approved the new fund, which would launch with 2 million riyals, or around $5.2 billion. It would support the country’s Vision 2040 plans to grow and diversify the economy.
Additionally, the Oman Future Fund will allocate a percentage of its capital to stimulate the venture investment system in small, medium, and emerging companies registered with Oman’s SMEs Development Authority, the decree added.
Oman, like other Gulf countries, already has a sovereign wealth fund that invests excess oil revenues in international real estate, businesses, and other assets. The Oman Investment Authority was established in 2020 and incorporated an earlier fund dating back to 1980.
Read more: Oman launches additional support package for SMEs, entrepreneurs
New city
Sultan Haitham also announced the construction of a new city on the outskirts of Muscat.
Sultan Haitham City is being built to accommodate Omani citizens on low incomes. Nearly 20,000 properties will be built on 14.8 million square metres.
Once complete, the city will house up to 100,000 residents and will include schools, places of worship, hospitals, a university and shopping centres.
For more news on Oman, click here.
