Economic Diversification in the Sultanate of Oman in Light of Economic Transformations: Challenges and Opportunities Based on Strategic Objectives and Supporting Initiatives 10.35781/1637-000-145-006

Abstract

Abstract This study aims to analyze the status of economic diversification in the Sultanate of Oman amid local and global economic transformations during the period (2020–2025). It investigates the key challenges facing the Omani economy and identifies the emerging opportunities, proposing strategic goals and supportive initiatives to achieve sustainable development. The research employs a descriptive-analytical and theoretical-applied approach, relying on official reports issued by the Ministry of Economy, the World Bank, and the IMF. Findings reveal that Oman’s diversification efforts have made steady progress despite challenges related to oil price volatility, structural rigidity, and human capital efficiency. The study emphasizes the need to strengthen innovation, improve the performance of non-oil sectors, and enhance public–private partnerships. It concludes with a set of strategic goals and initiatives to support sustainable diversification. Keywords: Economic diversification, economic transformations, macro economy, Oman, sustainable development, Oman Vision 2040.