100% Corporate Ownership in Oman?

Analysis

Oman's Ministry of Commerce and Industry is in the latter stages of implementing a new foreign investment law which was drafted with consultation from the World Bank. The stated purpose of the new law is clear: attract a greater variety of global investors to the Omani economy.

While still in draft form and subject to final review by the legislative and administrative bodies, if the new law is approved in its current form it is likely to contain provisions which achieve the following:

• allow foreign investors to conduct business in Oman without requiring a local sponsor in certain business sectors;

• increase the maximum percentage a foreign investor can generally hold in an Omani company from 70% to 100% in certain business sectors;

• lower or remove the share capital requirement threshold (currently OMR 150,000 / USD 390,000) in certain business sectors; and

• provide an opportunity to use arbitration to settle disputes.

Key Sectors to Benefit