Sunday 23 February 2020

Oman to draw $50bn in tourism investment by 2040

MUSCAT, May 24, 2018

Tourism continues to play a prominent role in driving Oman’s long-term economic development with future investment in the hospitality sector projected at around $50 billion over the next two decades through to 2040, said a report.

While the government’s share in this investment is set at around 12 per cent, the balance 88 per cent will come from the private sector, said a report in Oman Daily Observer citing Peter Walichnowsk, chief executive officer of Omran — the tourism investment and development arm of the government.

Walichnowski said the projected investment is primarily aimed at achieving three main objectives: boosting tourist arrivals into the country, building up the nation’s tourism sector, and generating employment for Omanis in the industry.

“In terms of visitations, the target is to get 11.5 million people here by 2040, including 5 million international visitors, while the others are part of the national movement of tourists within the country,” said Walichnowski.

“In terms of tourism infrastructure development, the focus is on airport construction, as in the case of the opening recently of the new Muscat Airport, the Oman Convention and Exhibition Centre (OCEC) in terms of Mice tourism, and so on. However, in hotel infrastructure there is far more work to be done. The target is to achieve 14 million room nights by 2040, which will require 80,000 new units.
This comprises 33,000 hotel rooms, 17,000 serviced apartments and 30,000 second homes,” the CEO said.

"Employment generation targets envisioned under the Tourism 2040 Strategy are ambitious as well. The goal is to employ 500,000 individuals in the sector by 2040, up from around 150,000 presently, he said.

Wholly government-owned Omran, which owns and operates a substantial portfolio of hotels and resorts in the Sultanate, employs around 2,500 staff in these properties. Omanisation remains at around 38 — 40 per cent, said Walichnowski, acknowledging that getting nationals to work in hotel services as a career path is still a “challenge”, the report said.

Tags: Oman | tourism | investment | 2040 |

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