Ministry of Economy launches 10th five-year plan

Muscat: The Ministry of Economy confirmed the launch of the tenth five-year development plan (2021-2025), starting from Friday, according to the Royal Decree No. (1/2021).

The tenth five-year development plan is the first executive plan for the future vision of Oman 2040, guided by the generous care and sublime directives of His Majesty Sultan Haitham bin Tariq, to begin a new phase by making a qualitative leap in the development process in the Sultanate.

The ministry notes that the tenth five-year plan aims to achieve a real GDP growth rate of no less than 3.5 per cent on average and to achieve a growth rate of GDP at current prices of 5.5 per cent on average during the years of the plan.

The plan also seeks to increase the rate of investment to reach 27 per cent of GDP on average, and work to raise the efficiency of investment and attract more foreign direct investment in oil and non-oil sectors to reach 10 per cent of GDP by the end of the plan and increase the private sector's contribution to investment. To reach 60 per cent on average and achieve a real growth rate for non-oil activities, which is estimated at 3.2 per cent on average.

The Ministry clarifies that the plan seeks to stimulate economic activity, develop the macroeconomic environment, raise the efficiency of public financial management, achieve a balance between measures to control and rationalize public spending, especially the current one, and adopt expansionary, disciplined financial policies that achieve sustainable growth rates.

And develop the necessary infrastructure to stimulate private investment, accelerate the pace of implementation of major strategic projects and partnership projects between the public and private sectors, and attract more foreign direct investment, while building on expectations for oil prices at an average of 48 dollars per barrel during the years of the plan.

The statement stated that the plan focuses on mechanisms and programs for economic diversification and increasing the contribution of non-oil sectors and activities, as it sets a target for an average annual growth rate of about 3.2 per cent in the gross domestic product of non-oil activities by focusing on promising economic sectors, represented in the manufacturing industries, agriculture, fisheries and farming Fish, agricultural and food processing, transportation, storage and logistics.