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Gulf Press > Gulf > Tourism sector plays vital role in economic diversification; total output reaches OMR1.9bn
Gulf

Tourism sector plays vital role in economic diversification; total output reaches OMR1.9bn

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Last updated: 2025/11/22 at 3:28 PM
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The Sultanate of Oman is rapidly establishing itself as a premier destination for travelers seeking a unique blend of cultural immersion and modern experiences. Recent data reveals significant progress in the Oman tourism sector, with strong performance indicators reported during the first nine months of 2025. These results not only demonstrate the sector’s resilience but also confirm its crucial role in driving economic diversification, a key pillar of the nation’s long-term strategy.

Strong Economic Contribution from Oman Tourism

The direct added value of tourism reached approximately OMR873 million, while the total tourism output soared to around OMR1.99 billion. This translates to a substantial 2.7 percent contribution to Oman’s gross domestic product, solidifying the tourism sector as a cornerstone of the non-oil economy. These figures highlight the success of the Ministry of Heritage and Tourism in implementing its ambitious development plans and fostering a robust partnership with the private sector, all aligned with the overarching goals of “Oman Vision 2040”.

Government Revenue and Hotel Performance

The financial health of the sector is also evident in the government revenues generated. By the end of September 2025, activities overseen by the Ministry of Heritage and Tourism brought in approximately OMR13.55 million, showcasing efficient resource management and increasing demand for Omani tourism offerings.

Hotel revenues experienced a notable increase, reaching OMR293.4 million – a 6.1 percent rise compared to the previous year. This positive trend is directly linked to improved occupancy rates and a strategic diversification of tourism programs designed to attract a wider range of visitors. The growth in hotel performance is a key indicator of the overall health of Oman’s travel industry.

Visitor Numbers: Domestic and International Trends

While the total number of international visitors arriving in the Sultanate reached 2.83 million by the end of the third quarter of 2025, representing a slight decrease of 2.4 percent compared to 2024, a significant surge in domestic tourism has more than compensated. The number of local visitors climbed to 13.6 million, marking a growth rate of 5.1 percent. This increase is attributed to a thriving calendar of local events and festivals, encouraging citizens and residents to explore their own country.

The total number of hotel guests reached 4.6 million, an increase of 4.6 percent, demonstrating continued confidence in Oman’s tourism services and modern infrastructure. This positive trend underscores the Ministry’s commitment to providing a high-quality experience for all travelers.

Expanding Global Reach Through Marketing Initiatives

The Ministry of Heritage and Tourism has been actively expanding its global presence through strategic marketing initiatives. New tourism representation offices have been established in key markets like China, Russia, and Spain, and plans are underway to open another office covering Singapore, Indonesia, Malaysia, and Thailand.

Currently, 11 tourism representation offices are conducting marketing campaigns in 25 countries, collaborating with international tourism institutions and generating direct economic returns exceeding OMR30 million. Furthermore, the Ministry participated in over 20 international exhibitions and events, providing crucial platforms for Omani tourism businesses to connect with their global counterparts.

Showcasing Omani Culture and Heritage

Oman’s commitment to preserving and promoting its rich cultural heritage is a central theme in its tourism strategy. The Sultanate’s pavilion at international exhibitions consistently receives accolades, including awards for best design, reflecting its ability to seamlessly blend authenticity with modernity. These pavilions utilize cutting-edge technologies and digital displays to showcase Oman’s diverse heritage and tourism experiences.

The Ministry also collaborates with international media organizations, exemplified by a recent television promotional campaign via CNN, featuring compelling films and digital advertisements. This campaign aims to raise awareness of Oman as a unique and desirable travel destination.

Growth in Cruise Tourism and Hotel Infrastructure

The cruise ship and charter voyage sector is experiencing significant growth, with approximately 588 charter flights arriving during the 2024-2025 season, compared to 466 the previous year. This influx of tourists resulted in 93,000 visitors and an estimated economic return of US$80 million, encompassing accommodation, transportation, and excursions.

Investment in hotel infrastructure continues to rise. The number of hotel establishments in Oman has increased to 1,309, with a total of 38,000 rooms – a growth rate of 7.9 percent. Preliminary approvals have been issued for 383 new accommodation projects, and 114 projects are currently under construction, expected to open between 2025 and 2027. Investments in integrated tourism complexes have surpassed OMR11.5 billion, demonstrating strong investor confidence in the Omani market.

Workforce Development and Future Outlook

The Oman tourism sector is a significant employer, with 169,800 workers by the end of September 2025. Of these, 27.8 percent are employed in activities directly supervised by the Ministry. The Omanisation rate, representing the proportion of Omani nationals in the tourism workforce, has risen to 10.9 percent, up from 10.1 percent the previous year.

Looking ahead, the Ministry of Heritage and Tourism has signed 36 concession contracts to implement new tourism projects, totaling OMR100 million. Furthermore, efforts are underway to nominate the archaeological sites of Basya and Salut for inclusion in the UNESCO World Heritage List, adding to Oman’s existing prestigious designations.

Oman’s Competitive Edge in the Region

Oman is demonstrating strong performance compared to other Gulf Cooperation Council (GCC) countries. In September 2025, hotel occupancy rates in Muscat Governorate reached 66.7 percent, and in Salalah State, they reached 56.7 percent. This success is attributed to Oman’s natural beauty, environmental tranquility, and the Ministry’s strategic focus on diversifying tourism activities, including adventure, heritage, and eco-tourism. These factors enhance Oman’s competitiveness in both regional and global markets.

In conclusion, the Oman tourism sector is experiencing a period of sustained growth and development, driven by strategic government initiatives, private sector investment, and a commitment to preserving the nation’s unique cultural and natural heritage. With ongoing expansion and a clear vision for the future, Oman is poised to become a leading sustainable tourism destination. Explore the wonders of Oman and discover a travel experience unlike any other – visit Visit Oman to start planning your adventure today!

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News Room November 22, 2025
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