Oman Future Fund Plans 4,400 Jobs with OMR 1.8 Billion Investments

The Oman Future Fund (OFF), a part of the Oman Investment Authority, is actively driving economic diversification and private sector empowerment by transforming investment capital into productive opportunities and strategic partnerships. These initiatives aim to enhance local content, facilitate technology and expertise transfer, and create new avenues for small and medium-sized enterprises (SMEs).

According to His Excellency Mulham bin Bashir Al Jaraf, Deputy President of the Oman Investment Authority for Investment, OFF has committed over OMR 670 million across more than 245 projects. These projects have already contributed over OMR 240 million to local content and created more than 1,880 jobs, with a further 4,450 job opportunities in the pipeline.

OFF employs an investment model that balances financial returns with developmental impact. Key pillars include investing in priority sectors aligned with 'Oman Vision 2040,' partnering with the private sector and strategic investors (with OFF's stake capped at 40% to ensure private sector leadership), facilitating knowledge transfer and capacity building, and strengthening local content and value chains. The fund meticulously measures its investments' performance using financial and developmental indicators, including job creation, added value, technology transfer, and investment attraction, reinvesting returns into new ventures to sustain capital and economic impact.

OFF also plays a crucial role in attracting qualitative foreign investments, collaborating with specialized directorates within the Oman Investment Authority. The fund has invested OMR 252.1 million in six global investment funds, totaling OMR 454.2 million, to attract advanced technologies and enhance the investment environment. Notable initiatives include the launch of Oman's first specialized energy transition fund worth OMR 77 million, and multi-sectoral investments in renewable energy, technology, healthcare, and food security. OFF has also supported projects like XCyber, the international arm of cybersecurity leader QAX, and Alma Pet Food Manufacturing, a global R&D and manufacturing hub for premium pet food with a 12,000 metric tons per year capacity. Additionally, significant foreign investment exceeding OMR 400 million has been attracted through projects like United Solar and Orion Solar, with fund contributions surpassing OMR 250 million.

Investment agreements include clear commitments for knowledge and technology transfer to Omani cadres, training programs, and job creation, with continuous monitoring by the fund to ensure compliance. United Solar's factory, for instance, has allocated an annual budget for Omani training and R&D, projected to contribute OMR 33 million in added value by 2030 and create over 1,500 jobs upon full operation. OFF has also earmarked OMR 200 million, representing 10% of its size, to finance startups and SMEs holding Riyada cards.

To help Omani companies expand beyond local markets, OFF provides a comprehensive financing ecosystem that supports businesses from ideation to advanced growth stages, including working capital solutions. This is achieved through partnerships with specialized investment funds and supporting entities, offering diverse financing tools such as direct investment, fund-of-funds, and debt instruments. The fund also collaborates with economic and free zones, government entities, local banks, and strategic partners, alongside promotional programs with governorate offices and Oman Chamber of Commerce and Industry branches to expand partnerships and attract investments. Investments in initiatives like 'Station 11,' an incubator for startups, and companies like Plamore, an advanced 3D filament producer that has expanded into Kuwait, Saudi Arabia, and Bahrain, exemplify this strategy. OFF also supports startups from the ideation phase through initial and pre-seed funding, as seen with investments in a tourism application and an AI project.

OFF’s projects are designed to build integrated industrial clusters and supply chains, thereby enhancing local content and creating opportunities for Omani businesses. For example, the fund has invested in various stages of the solar energy value chain, including polysilicon and solar cell manufacturing, and is evaluating investments in ingots, wafers, and solar modules to complete a comprehensive photovoltaic industry in Oman. This approach will be replicated in other strategic sectors like energy storage, healthcare, and semiconductors, fostering a wider local supplier base, stimulating SME growth, and boosting the national economy's added value.