MUSCAT: His Majesty Sultan Haitham bin Tarik has directed the preparation of a long-term plan to strengthen Oman’s non-oil trade balance and approved a new national programme to improve the foreign investment environment, as the government sharpens its focus on economic resilience, investment and domestic production heading into 2027.

The measures were among a series of decisions and directives issued during a meeting of the Council of Ministers chaired by His Majesty at Al Hosn Palace in Salalah.

Reviewing preliminary results expected for the 2026 State Budget, the Cabinet stressed the need to strengthen fiscal policies and make them more adaptable to external developments and volatility.

The Council said the approach should help shield Oman’s economic and financial position from unforeseen changes and support sustainable fiscal and economic stability.

Non-oil trade push
His Majesty directed the government to prepare a long-term plan to strengthen the non-oil trade balance, with implementation due to begin at the start of 2027.

The plan will focus on greater use of local raw materials, increasing domestic production, leveraging Oman’s strategic location and developed infrastructure, and maximising benefits from agreements signed with other countries.

The directive puts domestic production and non-oil trade at the centre of the government’s next phase of economic policy as Oman seeks to expand exports and diversify economic activity.

New foreign investment programme
The Cabinet also approved the establishment of a National Programme to Enhance the Foreign Investment Environment, which is due to be launched at the beginning of 2027.

The decision followed a review of the performance of several national programmes and their contribution to developing sectors, strengthening institutional integration and improving the competitiveness of the business environment.

The new programme will seek to improve Oman’s business competitiveness, attract domestic and foreign investment and review and upgrade services provided to citizens, residents and investors.

Healthcare and medical industries
Healthcare was also a major focus of the meeting, with the Cabinet reviewing projects completed in recent months and those scheduled for completion in the coming period.

His Majesty praised healthcare workers for their efforts and contribution to developing the country’s healthcare system.

He also endorsed a proposal to establish specialised industrial clusters for pharmaceutical industries and medical devices in economic and free zones, aimed at strengthening national pharmaceutical security and localising pharmaceutical and biomedical industries.

Municipal Council powers to be reviewed
Ahead of elections for the fourth term of Oman’s Municipal Councils in December, His Majesty directed a comprehensive assessment of the powers granted to the councils, their roles and how their work integrates with the governorates.

His Majesty also stressed the importance of broad participation by different segments of society and informed choices by voters, highlighting the role of experienced and capable members in strengthening the work of Municipal Councils.

Dhofar tourism growth
The Cabinet reviewed the 2026 Khareef Dhofar season, which drew a large number of visitors, and praised efforts by Dhofar Governorate and other authorities to support economic development.

His Majesty called for services and tourism infrastructure to keep pace with growing visitor numbers, with closer cooperation between government entities, the private sector and local communities to support the local economy and sustain tourism growth.

Oman reiterates regional stance
Against the backdrop of regional challenges, the Cabinet reaffirmed Oman’s position in favour of constructive neutrality, containing conflicts, political dialogue and respect for the sovereignty of states.

The Council said dialogue and political solutions were important to strengthening regional security and stability.

His Majesty also praised the military, security and civilian authorities for measures taken to protect the country, maintain the flow of goods and facilitate the movement of people and shipments.

The Cabinet also reviewed the outcome of His Majesty’s recent visits to friendly and brotherly countries, which focused on expanding bilateral relations and facilitating trade, economic and investment exchanges.

His Majesty directed government authorities to maximise the benefits of agreements and understandings reached during those visits, with particular emphasis on supporting economic growth, increasing exports and raising domestic output.