In the latest findings released by the National Centre for Statistics and Information (NCSI), private sector entities in Oman played a significant role in the country’s economic landscape during the fourth quarter of 2023. Preliminary data revealed that these entities contributed RO8.85 billion to the nation’s gross domestic product (GDP). This accounted for 81.2% of the GDP at current prices, marking a slight decline from 84% reported during the same period in 2022.
Breaking down the contributions, large corporations emerged as the primary contributors, adding RO6.58 billion to the GDP, representing 60.4% of the total. However, this marked a 6.5% decrease compared to the previous year. Medium-sized enterprises contributed RO681.9 million, reflecting a 3.2% decrease, while small enterprises added RO718.6 million, showing a 2% drop. Micro enterprises, on the other hand, contributed RO870.7 million, signaling a modest increase of 0.7%.
The workforce in private institutions also saw a notable increase, rising by 6.4% from 1.71 million in the fourth quarter of 2022 to 1.82 million in the same period of 2023. The total number of private institutions reached 240,765, marking an 8.7% increase compared to the previous year.
Despite global challenges and fluctuations in the oil market, Oman’s real GDP recorded an annual growth of 1.3%, reaching RO38.2 billion by the end of 2023, according to statistics from the Ministry of Economy. However, the nominal GDP, measured at current market prices, experienced a slight decrease of 2.8% to RO41.8 billion in 2023 compared to the previous year.
The growth in GDP was mainly supported by a 2.4% increase in the added value of non-oil activities, which contributed significantly to the overall GDP, reaching RO27.3 billion in 2023. Meanwhile, oil sector activities saw a marginal growth of 0.4%, contributing RO12.4 billion to the GDP.
Looking ahead, the Ministry of Economy anticipates continued economic growth in 2024 and beyond, supported by strategic investments in industrial cities and free zones, as well as major agreements in green industries and green hydrogen. The Ministry of Finance has projected Oman’s economy to achieve growth of at least 3% in 2024, while maintaining annual inflation at moderate levels.
