Oman climbs five spots in 2024 Competitive Industrial Performance Index
Oman has ascended five spots to rank 53rd globally and 4th regionally in the 2024 Competitive Industrial Performance (CIP) Index, as released by the United Nations Industrial Development Organization. The CIP Index evaluates the industrial competitiveness of 153 economies worldwide, and Oman’s rise is attributed to significant investments in technology, automation, and supply chain improvements.
Dr. Saleh Said Masan, undersecretary of the Ministry of Commerce, Industry, and Investment Promotion for Commerce and Industry, highlighted that Oman’s progress in the CIP is due to strategic initiatives aimed at developing the industrial sector. Key drivers include attracting industrial investments grounded in advanced technologies, launching factory automation initiatives, and consolidating supply chains.
The Oman Industrial Strategy 2040 has been pivotal in supporting this growth. This strategy provides a comprehensive framework for industrial development, emphasizing the upgrade of converting industries through advanced technology, the development of innovative products, and the expansion of exports both regionally and internationally. The strategy’s implementation has been instrumental in bolstering Oman’s position in the CIP.
Data from the National Centre for Statistics and Information (NCSI) shows robust performance in converting industries and non-oil exports. By the end of the first quarter of 2024, the output of converting industries reached OMR951 million at fixed prices, representing a 9.2 percent increase compared to the same period in 2023. Converting industries accounted for 10 percent of the sectoral contribution to Oman’s Gross Domestic Product (GDP).
Oman’s non-oil exports, predominantly industrial products, grew by 45 percent by the end of the first quarter of 2024 compared to the corresponding period in 2023, constituting 36 percent of total exports. This growth is supported by new local and foreign investments in the converting industries sector, which have shown steady growth, diversification, and optimal distribution.
The strategic initiatives and investments have not only boosted Oman’s industrial performance but have also created a more resilient and diversified economy. The increased focus on advanced technology and innovation is positioning Oman as a competitive player in the global industrial landscape. The government’s commitment to the Industrial Strategy 2040 and the resultant economic improvements underline Oman’s potential to further climb the ranks in the CIP Index.
For instance, Oman’s recent achievement of a $6.7 billion trade surplus and merchandise exports reaching $16.88 billion by the end of March 2024 are indicative of the positive trajectory the country is on. The concerted efforts to enhance industrial output and export capabilities are paying off, contributing to Oman’s overall economic health and competitiveness.
As Oman continues to implement its Industrial Strategy 2040, the country is expected to see sustained growth in industrial performance, attracting more investments, and further integrating advanced technologies into its industrial framework. These efforts are critical to maintaining and improving Oman’s position in global industrial competitiveness rankings.
