Prohibiting foreign investment in some activities

On 14 December 2020, the Ministerial Decision 209/2020, which lists the activities that are prohibited for foreign investors, came into effect. It aims to promote local products and entrepreneurship projects while providing priority to empower small and medium-sized enterprises (SMEs). According to the decision, an Omani investor can, in principle, invest in all activities and enter into a partnership with a foreign investor, taking into account the enforced agreements in the field of trade and investment. The following activities are closed to foreign investment: - Transporting and sale of drinking water; - Repairing vehicle electricity connections, charging car batteries, repairing and cleaning car radiators, repairing tyres, adjusting wheel scales, vehicle washing and lubrication stations, activities for changing vehicle oils, repairing car air conditioners, repairing vehicle exhaust, cleaning and polishing vehicles; - Vehicle fuel stations; - Managing and operating fuel stations; - Wholesale of fruits and vegetables; - Selling cooking gas and LPG filling stations; - Retail sale of empty gas cylinders; - Retail sale of honey and bee-keeping supplies; - Retail sale in specialised stores of phones and accessories; - Sale of mobile phones and accessories; - Retail sale of antiques and paintings; - Retail sale of natural flowers and plants; - Retail sale of pottery and handicrafts; - Retail activities in stores for gifts and silverware, telecom cards, animal food, bags and wedding supplies, wedding cards; - Sale of fireworks; - Transportation of pilgrims and Umrah performers; - Road transport by trucks of cooking gas cylinders; - Loading and unloading of goods; - Activities of customs clearance offices; - Valuation of cancelled vehicles; - Insurance agent; - Real estate brokerage; - Foreign manpower recruitment offices; - Employment and public cleaning of offices and buildings; - Copying services, printing documents and offices for tracking transactions; - Collecting and installing neon panels; - Specialised rehabilitation centres, homes for the elderly and orphanages; - Activities related to libraries and archives; - Washing all kinds of clothes and textiles, barring in tourist establishments, ironing clothes, washing and ironing with steam (dry washing); - Hairdressing and shaving for men, hairdressing and cosmetic treatment for women, and hairdressing for children.

• Type:

  • Entry and establishment (Ownership and control)

• Industry:

  • Services (Electricity, gas, steam and air conditioning supply, Wholesale and retail trade, Transportation and storage, Telecommunications, Financial and insurance activities, Real estate activities, Other professional, scientific and technical activities, Administrative and support service activities, Education, Arts, entertainment and recreation, Other service activities)

• Sources:

  • Ministry of Justice and Legal Affairs, Ministry of Commerce, Industry, and Investment Promotion: Ministerial Decision 209/2020 Determining the List of Activities that Are Prohibited to be Undertaken by Foreign Investment, https://mjla.gov.om/eng/legislation/decisions/details.aspx?Id=1576&type=D, 08 Dec 2020
  • The World News, From tomorrow, Oman prohibits foreign investment in some activities, https://theworldnews.net/om-news/from-tomorrow-oman-prohibits-foreign-investment-in-some-activities, 13 Dec 2020
  • Muscat Daily, Ministry issues list of activities prohibited for foreign investment, https://muscatdaily.com/Oman/388993/Ministry-issues-list-of-activities--prohibited-for-foreign-investment, 12 Dec 2020