According to recent figures released by the UAE Ministry of Economy, the total non-oil trade between the UAE and Oman in the last 12 years has reached AED431 billion ($117.34 billion).
Over the past year, non-oil trade between the two countries has experienced a remarkable growth of 473 percent compared to the levels recorded in 2010.
Growth over the years
The growth over the past decade unfolded as follows:
- AED8.5 billion in 2010
- AED11.7 billion in 2011
- AED23.4 billion in 2012
- AED28.8 billion in 2013
- AED29.2 billion in 2014
- AED30 billion in 2015
- AED31.9 billion in 2016
- AED35.9 billion in 2017
- AED46 billion in 2018
- AED48 billion in 2019
The UAE-Oman trade experienced a slight dip in growth due to the impact of the coronavirus pandemic in 2020, reaching AED42.3 billion. However, it rebounded to AED46.5 billion in 2021 and further increased to AED48.7 billion in 2022.
Notably, the UAE holds the position of being Oman’s largest trading partner on a global scale, serving as both its largest exporter and importer. More than 40 percent of Oman’s total imports are sourced from the UAE. Additionally, approximately 20 percent of Oman’s exports are directed to global markets through the UAE.
Conversely, Oman ranks as the second largest trading partner within the Gulf Cooperation Council (GCC) for the UAE, contributing to about 20 percent of the UAE’s total trade with the GCC nations.
In terms of investments, the UAE stands out as the largest Arab investor and the third largest global investor in Oman. Emirati investments contribute over 8.2 percent to the total foreign direct investment (FDI) stock of the Sultanate.
The direct investment from the UAE into the Sultanate of Oman amounted to AED8.8 billion. Emirati investments in Oman encompass various sectors such as the pharmaceutical industry, cosmetics, power generation, real estate activities, construction and industrial equipment, financial and banking sectors, hotels and restaurants, the industrial sector, oil exploration, natural gas, refrigeration, fish farming, seafood trade, wholesale and retail trade, as well as the establishment of shopping and leisure centers. On the other hand, Omani investments in the UAE reached AED3.1 billion.
Data suggests that Oman’s investment-focused sectors primarily revolve around financial, insurance, and manufacturing activities. It also includes real estate, professional and scientific activities, technical activities, construction, wholesale and retail trade, motor vehicle and motorcycle repair, information, and communications.
The historical, geographical, and social affinities between the UAE and Oman have positively influenced the business sectors of both countries. This is particularly evident in areas such as tourism, exchange of experiences, studies, and information between chambers of commerce, as well as the promotion of products.
In the tourism sector, UAE hotel establishments welcomed in 2021 over 256,000 hotel guests from Oman, experiencing a growth rate of 32 percent compared to 2020.
Dubai alone received 1.3 million Omani tourists last year, highlighting the significant number of visitors from Oman. In addition, the Omani market ranks among the top 10 major tourist exporters to the Emirate of Abu Dhabi.
Furthermore, Oman serves as a popular destination for UAE nationals and residents, attracting a considerable number of visitors. The UAE stands out as one of the leading markets exporting tourism to Oman.
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