Latest news with #DrSaidMohammedAlSaqri
Times of Oman
02-07-2025
- Business
- Times of Oman
Oman marks Day of the Seafarer, highlighting maritime heritage
Muscat: The Sultanate of Oman, represented by the Ministry of Transport, Communications, and Information Technology, celebrated the international Day of the Seafarer, showcasing the nation's active maritime history and recognizing the vital role of seafarers working in this sector. The event was held under the auspices of Dr. Said Mohammed Al Saqri, Minister of Economy. The ceremony featured an overview of the maritime sector's role in contributing to the gross domestic product and strengthening the national economy, along with its key achievements in Oman through collaboration with relevant institutions. The celebration also included an exhibition by participating entities and a photography competition capturing scenes of maritime life and activities.
Arabian Business
25-06-2025
- Business
- Arabian Business
Oman announces 5% income tax: Everything you need to know
Oman will introduce the Gulf region's first personal income tax on high earners starting January 1, 2028, marking a historic shift in its fiscal strategy. The personal income tax (PIT) for high earners marks a major shift in Oman's fiscal policy as part of the broader Vision 2040 agenda to diversify national income and ensure long-term financial sustainability. The Personal Income Tax Law, issued by Royal Decree No. 56/2025, comprises 76 articles across 16 chapters. It imposes a 5 per cent tax on the taxable income of individuals whose gross annual income exceeds OR42,000 ($109,100), derived from income categories defined in the legislation. The law will officially come into force at the start of 2028. Everything you need to know about new Oman tax Effective Date: January 2028 Threshold: Income above OR42,000 ($109,100) annually Tax Rate: 5 per cent Exemptions: 99 per cent of citizens, plus deductions for key social needs Purpose: Fiscal sustainability, economic diversification, social equity Impact: Minimal GDP effect, no expected impact on foreign investment Dr. Said Mohammed Al Saqri, Minister of Economy, said: 'The tax serves as a new revenue stream to diversify public income sources and mitigate risks associated with reliance on oil as the primary revenue source. 'It will help maintain current levels of social and service spending while preserving Oman's achievements in financial and economic stability under 'Oman Vision 2040' and its first executive phase, the Tenth Five-Year Plan (2021-2025).' 99% of Omanis exempt from new tax According to Oman's Tax Authority, the exemption threshold was determined after a comprehensive economic and social impact study based on income data from multiple government bodies. As a result, approximately 99 per cent of Omani citizens will not be affected by the tax. To address social equity, the law includes deductions for education, healthcare, housing, zakat, donations, and inheritance, among others. Karima Mubarak Al Saadi, Director of the Personal Income Tax Project, confirmed that all necessary preparations and requirements for implementing the tax have been completed. The Tax Authority confirmed the development of a digital tax declaration system integrated with other government entities to promote voluntary compliance. The executive regulations of the law will be issued within one year of its publication in the Official Gazette. Currently, 68 per cent to 85 per cent of Oman's income is derived from oil and gas, depending on global prices. While prices have been favourable recently, the government warns of long-term volatility. The PIT law seeks to secure sustainable funding and mitigate reliance on hydrocarbons. Dr. Said Mohammed Al Saqri, explained that the (PIT) is a fiscal tool adopted by most countries worldwide as a key revenue source to fund state-provided services. More than 190 countries impose this tax, and in many, income taxes constitute the largest component of total tax revenues at federal and local levels, financing public goods and services. He noted that implementing the tax in Oman will yield significant economic benefits, supporting income diversification strategies and long-term fiscal stability as a pillar of economic growth. He added that the foreign investment is expected to remain unaffected, as the tax applies to individuals—not corporate entities—and Oman's rates remain competitive globally, the minister concluded. The 2025 national budget allocates more than OR5bn ($13bn) to essential services: Education: 39 per cent Healthcare: 24 per cent Social Protection: 28 per cent The Social Protection Fund currently supports over 2 million beneficiaries monthly, with PIT revenue expected to further strengthen the program.
Zawya
24-06-2025
- Business
- Zawya
Income Tax key step for revenue diversification: Oman's Economy Minister
Muscat – The Ministry of Economy affirmed that the implementation of the Personal Income Tax (PIT), set to take effect at the beginning of 2028, represents a crucial step toward enhancing financial stability and completing the fiscal sustainability framework. This measure aims to ensure sustainable financing for development across various sectors. H E Dr Said Mohammed al Saqri, Minister of Economy, stated: 'The tax serves as a new revenue stream to diversify public income sources and mitigate risks associated with reliance on oil as the primary revenue source. It will help maintain current levels of social and service spending while preserving Oman's achievements in financial and economic stability under 'Oman Vision 2040' and its first executive phase, the Tenth Five-Year Plan (2021-25).' He explained that the PIT is a fiscal tool adopted by most countries worldwide as a key revenue source to fund state-provided services. Over 190 countries impose this tax, and in many, income taxes constitute the largest component of total tax revenues at federal and local levels, financing public goods and services. He noted that implementing the tax in Oman will yield significant economic benefits, supporting income diversification strategies and long-term fiscal stability as a pillar of economic growth. It, he added, will also sustain government revenues, strengthen the state's financial position, maintain credit ratings, and boost spending power for beneficiaries – directly stimulating aggregate demand and economic growth. He highlighted that oil and gas revenues account for 68% to 85% of Oman's total public income, depending on global energy prices. While oil prices have stabilised at favourable levels in recent years, they remain volatile. Oman has effectively managed additional oil revenues by reducing public debt to safe GDP ratios, increasing investment and social spending, and subsidizing essential goods and services, he further noted. He affirmed that government policies and initiatives have successfully shifted Oman's fiscal and economic trajectory toward sustainability and stability. Public debt has sharply declined, credit ratings have consistently improved to investment-grade levels, and Oman's standing in global competitiveness indices has risen. The Tenth Five-Year Plan sustained GDP growth near target rates, while economic diversification policies attracted quality investments and drove non-oil sector growth beyond expectations, the minister said. He added: 'As the Tenth Plan nears completion, Oman has advanced significantly in economic diversification and fiscal sustainability. The PIT will further prioritise financial stability by diversifying revenue sources – a strategic necessity to ensure equitable wealth distribution, enhance public services, strengthen social protection systems, and mitigate risks from global energy market fluctuations and other economic variables.' He emphasised that accelerating 'Oman Vision 2040' and its economic diversification strategy – transitioning to a knowledge- and technology-driven economy – requires sustainable funding for long-term planning. The Vision targets strategic investments in education, human capital, advanced infrastructure, innovation, and diversified sectors, alongside essential services and social protection. He pointed out that the 2025 budget allocates over RO5bn (39% to education, 24% to health, 28% to social protection) to these sectors, with the Social Protection Fund benefiting over 2mn people monthly as a key mechanism for household financial stability. As for the potential economic impacts, He noted that the tax study assessed effects on GDP and 18 economic sectors, concluding minimal impact (under 1%) due to high exemption and low tax rates. Foreign investment is expected to remain unaffected, as the tax applies to individuals – not corporate entities – and Oman's rates remain competitive globally, the minister concluded. © Apex Press and Publishing Provided by SyndiGate Media Inc. (
Times of Oman
22-06-2025
- Business
- Times of Oman
Personal Income Tax: A key step for revenue diversification, sustainable growth
Muscat: The Ministry of Economy affirmed that the implementation of the Personal Income Tax (PIT), set to take effect at the beginning of 2028, represents a crucial step toward enhancing financial stability and completing the fiscal sustainability framework. This measure aims to ensure sustainable financing for development across various sectors. Dr. Said Mohammed Al Saqri, Minister of Economy, stated: 'The tax serves as a new revenue stream to diversify public income sources and mitigate risks associated with reliance on oil as the primary revenue source. It will help maintain current levels of social and service spending while preserving Oman's achievements in financial and economic stability under 'Oman Vision 2040' and its first executive phase, the Tenth Five-Year Plan (2021-2025)." He explained that the (PIT) is a fiscal tool adopted by most countries worldwide as a key revenue source to fund state-provided services. Over 190 countries impose this tax, and in many, income taxes constitute the largest component of total tax revenues at federal and local levels, financing public goods and services. He noted that implementing the tax in Oman will yield significant economic benefits, supporting income diversification strategies and long-term fiscal stability as a pillar of economic growth. It, he added, will also sustain government revenues, strengthen the state's financial position, maintain credit ratings, and boost spending power for beneficiaries—directly stimulating aggregate demand and economic growth. He highlighted that oil and gas revenues account for 68% to 85% of Oman's total public income, depending on global energy prices. While oil prices have stabilised at favorable levels in recent years, they remain volatile. Oman has effectively managed additional oil revenues by reducing public debt to safe GDP ratios, increasing investment and social spending, and subsidizing essential goods and services, he further noted. He affirmed that government policies and initiatives have successfully shifted Oman's fiscal and economic trajectory toward sustainability and stability. Public debt has sharply declined, credit ratings have consistently improved to investment-grade levels, and Oman's standing in global competitiveness indices has risen. The Tenth Five-Year Plan sustained GDP growth near target rates, while economic diversification policies attracted quality investments and drove non-oil sector growth beyond expectations, the minister said. He added: 'As the Tenth Plan nears completion, Oman has advanced significantly in economic diversification and fiscal sustainability. The (PIT) will further prioritise financial stability by diversifying revenue sources—a strategic necessity to ensure equitable wealth distribution, enhance public services, strengthen social protection systems, and mitigate risks from global energy market fluctuations and other economic variables.' He emphasised that accelerating "Oman Vision 2040" and its economic diversification strategy—transitioning to a knowledge- and technology-driven economy—requires sustainable funding for long-term planning. The Vision targets strategic investments in education, human capital, advanced infrastructure, innovation, and diversified sectors, alongside essential services and social protection. He pointed out that the 2025 budget allocates over OMR5 billion (39% to education, 24% to health, 28% to social protection) to these sectors, with the Social Protection Fund benefiting over 2 million people monthly as a key mechanism for household financial stability. As for the potential economic impacts, He noted that the tax study assessed effects on GDP and 18 economic sectors, concluding minimal impact (under 1%) due to high exemption and low tax rates. Foreign investment is expected to remain unaffected, as the tax applies to individuals—not corporate entities—and Oman's rates remain competitive globally, the minister concluded.
Times of Oman
21-05-2025
- Business
- Times of Oman
Workshop reviews Eleventh Five-Year Development Plan
Muscat: The Ministry of Economy, represented by the project team preparing the Eleventh Five-Year Development Plan, on Wednesday organised a workshop to present the general framework of the plan and proposed programmes for the priority of sustainable governorate and urban development. The workshop was inaugurated by Dr. Said Mohammed Al Saqri, Minister of Economy. This workshop complements the participatory planning approach adopted by the Eleventh Five-Year Development Plan, expanding its scope at both the central and governorate levels. These strategic programs follow an integrated methodology to achieve balanced development across all governorates, support decentralisation, complete the legislative framework, and enhance economic and social opportunities—ensuring equitable distribution of development resources and sustainable growth in all regions. During the workshop, an overview of the Eleventh Five-Year Development Plan and proposed programmes for sustainable governorate and urban development was presented. The event also included interactive sessions through working groups, where participants discussed a range of proposals and recommendations to refine development programmes in line with the actual needs of each governorate. The Minister of Economy stated that the workshop aligns with national efforts to achieve the objectives of "Oman Vision 2040," a pivotal phase in advancing economic and social transformation. Building on the accumulated expertise from previous plans, the aim is to formulate more integrated and effective strategic policies and programs, he added. The workshop saw the participation of 200 national experts, including members of the central technical teams responsible for drafting the plan and representatives from governorates across various government and private sector entities. The plan was devised using a comprehensive, scientific, and participatory methodology, drawing on international best practices and lessons learned from previous plans while ensuring alignment with the strategic approaches of "Oman Vision 2040." The methodology emphasises integration across development sectors, incorporating national sectoral strategies—including urban development strategies and outputs from national programs and labs—alongside diagnostic and analytical studies and reports to define national priorities based on current realities and challenges. The workshop was attended by some Royal family members, Governors, the Head of Oman Vision 2040 Follow-up Implementation Unit, members of the Supervisory Committee for the preparation of the plan, and Omani competencies from the central technical teams involved in drafting the plan, as well as participants from all governorates.
