MUSCAT: Expatriates living in Oman have welcomed the directives from His Majesty Sultan Haitham Bin Tarik to reduce the work visa fees. In a significant move, His Majesty the Sultan directed the authorities to reduce the work permit fees for recruiting expatriates by more than 85% starting from June 1, 2022.

Speaking to The Arabian Stories, Riyas P Lathheef, General Manager of SeaPearls Gold and Diamond Jewellery welcomed the government decision. “We are blessed to live in this country. The decision to reduce the work visa fees for expats by His Majesty the Sultan is gratifying. It will certainly help private sector companies to ease the burden and also motivate those who wish to invest in Oman,” Riyas said.

Oman on Sunday slashed the work visa fees with an aim of boosting the business climate and upgrading the Sultanate’s competitiveness in attracting investments and easing burdens on the private sector.

The new work permit fees for category one will be OMR 301 (previously OMR 2001) for a period of two years, while the rate will be reduced to OMR 211 if the company meets the Omanisation percentage. The work visa fees for category two has been reduced to OMR 251 (previously OMR 1001-OMR 601), while the rate will be reduced to OMR 176 if the Omanisation ratio is met by companies.

Last year, the Ministry of Labour imposed higher fees on companies that seek to employ foreign nationals in the sultanate.

“This is quite a welcome decision as it will ease the burden on the companies operating in the region, making it easier and affordable for them to hire expatriate workers. It is also an encouraging announcement for entrepreneurs planning to set up business in the country, attracting greater foreign investments in the Sultanate,” said Najeeb K, Regional Head, Malabar Gold & Diamonds.

Davis Kallukaran Founder and Managing Partner of Crowe Oman said the decision to reduce work permit fees will have a “cascading effect” across all sectors in the country. “This will help in attracting foreign investors to Oman,” Kallukaran said. “The decision will give new life to the stagnant real estate business. We welcome this decision from the point of business growth. More and more entrepreneurs will set up businesses. After all the growth in any economy depends on the generation of employment be it tourism or any other industry. This will boost the drive to gear up for the implementation of the strategies laid out for the 2040 vision by His Majesty,” Kallukaran added.