Oman-UK partnership seeks investments and regional stability

Observer

27-04-2025

MUSCAT: The partnership between the Sultanate of Oman and the United Kingdom (UK) has evolved into a multifaceted relationship that encompasses economic, security and cultural dimensions. This alliance is characterised by a shared commitment to regional stability, mutual investment opportunities and collaborative efforts in addressing regional challenges.
In an interview with the Observer, Hamish Falconer, UK Minister for Middle East and North Africa, who was in Muscat recently, said Oman and UK have been working closely to address regional security challenges.
'We have a long history of working together to tackle the most pressing challenges the region faces. I am committed to ensuring that this continues. During our meeting, I discussed the need for Israel and Hamas to urgently return to the ceasefire deal, so that hostages can return to their families, much needed aid can be delivered, and we can move towards ending the violence. Our priority since day one has been a sustainable ceasefire in Gaza, and a lasting peace that will over time ensure security for both Palestinians and Israelis.'
'Oman has an important role to play in the region, as evidenced by their success in facilitating the release of the crew members aboard the 'Galaxy Leader' cargo ship detained by Ansar Allah in the Red Sea earlier this year. The UK government congratulated the Government of Oman for this, and continues to work alongside Oman, to support UN efforts in finding a political solution in Yemen,' he added. Falconer said he welcome Oman's efforts to broker talks between the US and Iran in Muscat. 'This is an important step in finding a diplomatic solution to Iran's nuclear issue, but time is short, and the UK continues to support this process,' he said.
BILATERAL TIES
On primary priorities for strengthening the UK-Oman bilateral relationship, Falconer said: 'Let me begin by saying I was delighted to visit Oman and was struck by its stunning mountains, desert, and coast, as well as the warmth of its people.
It is a special country, and I am eager to return. The UK and Oman relationship is truly special. I feel honoured to have visited Muscat to experience its natural beauty and celebrate the 225th anniversary of the 'Unshook treaty'. This treaty expresses our desire for our friendship to 'remain unshook until the end of time'.' 'That desire remains as strong today as it was 225 years ago. As long-standing friends, our co-operation now spans many fields, from business and trade to education, culture, defence and security.
'In our talks we set out our priorities for strengthening further the UK-Oman relationship, including working together to enhance regional stability, boosting our shared economic growth, and supporting clean energy initiatives,' he said.
STRONG LINKS
Falconer said there were discussions on how to improve existing education cooperation, and the growing travel and tourism between our countries. 'Our strong people-to-people links are the bedrock under all of these areas which are crucial for the delivery of the UK's Plan for Change agenda and the realisation of Oman Vision 2040,' he said.
On how the UK and Oman can promote economic stability and address environmental concerns, Falconer said: 'The UK is Oman's biggest investment partner, accounting for over 50 per cent of all foreign direct investment in the Sultanate of Oman. We continue to work together to support mutual economic growth, making it easier for both UK businesses in Oman and Omani businesses in the UK to thrive.'
'During our dialogue, I discussed promising progress on the UK/GCC FTA negotiations and how we are looking to finalise a deal, which could increase bilateral trade by up to 16 per cent, adding an extra £8.6 billion a year to trade between the UK and GCC countries in the long run, as well as supporting job creation,' he added.
HYDROGEN SECTOR
Falconer said UK businesses are investing heavily in Oman's green hydrogen sector – with UK companies leading 5 of the 8 concessions agreed to date, supporting our shared green growth ambitions. 'New partnerships in this area will not only benefit our economies but also contribute to global efforts to combat climate change,' he said.
In regards to the current humanitarian situation in Gaza following recent escalations, Falconer said, 'I have repeatedly highlighted my horror at the deteriorating humanitarian situation in Gaza, both in my public statements and during my engagements with the Government of Israel. Diplomacy, not more bloodshed, is how we will achieve a lasting peace.' 'The blocking of aid into Gaza is undoing the vital progress made during the ceasefire, with food, fuel and medical supplies running out, causing immense suffering across Gaza. Humanitarian aid should never be contingent on a ceasefire or used as a political tool. We continue to call on Israel, including at the UN Security Council and in our meetings with Israeli ministers, to allow for a rapid and unhindered resurgence in the flow of aid into Gaza,' he added.
Falconer said the UK's joint statement with France and Germany on March 21 called on Israel to allow the flow of aid, ensure civilians are protected.