Oman's Economy Shows Growth in Q1 2026 Driven by Petroleum and Services

The Gross Domestic Product (GDP) of the Sultanate of Oman increased by 2.6% during the first quarter of 2026, driven by growth in key economic sectors. The National Centre for Statistics and Information (NCSI) released preliminary data showing this expansion at constant prices. The report indicates a positive start to the year for the Omani economy, reflecting performance across various segments. The overall GDP at constant prices recorded a 2.6% increase, showing the broad-based nature of this economic uplift.

Petroleum Sector Performance

Petroleum-related activities in Oman's economy grew by 4.6% in the first quarter of 2026. The National Centre for Statistics and Information (NCSI) reported that these activities totaled OMR3,035.3 million in Q1 2026, an increase from OMR2,902.1 million during the same period in 2025. This growth was largely driven by an increase in crude oil activities. The value added from crude oil activities rose by 4.3%, reaching OMR2,554.1 million in Q1 2026, up from OMR2,448.2 million in Q1 2025. This significant rise in crude oil contributions notes its continued importance to the national economy. Natural gas activities also contributed significantly to the sector's performance. The NCSI data indicated that natural gas activities recorded a 6.0% increase in Q1 2026. The value-added from natural gas activities climbed to OMR481.2 million in Q1 2026, compared to OMR453.9 million in the first quarter of the previous year. The strong performance of both crude oil and natural gas activities collectively underpinned the overall expansion observed in the petroleum sector.

Non-Petroleum Activity Details

Non-petroleum activities in Oman registered a 2.4% increase during the first quarter of 2026, reaching OMR7,039.4 million. This figure compares to OMR6,877.0 million during the same period in 2025. This growth indicates a positive trend in economic diversification efforts. Within this sector, agriculture and fishing activities saw an increase, amounting to OMR337.8 million in Q1 2026, up from OMR318.3 million in Q1 2025. These activities demonstrated a growth rate of 6.1% in Q1 2026, showcasing a healthy expansion in these primary sectors.

Industrial activities, however, experienced a slight decline, totaling OMR1,979.7 million in Q1 2026, compared to OMR2,004.5 million in Q1 2025. This represented a decline of 1.2% during the same period, indicating some contraction within this segment. Service activities demonstrated growth, reaching OMR4,721.8 million in the first quarter of 2026. This represents an increase from OMR4,554.2 million reported in the first quarter of the previous year. The expansion in service activities contributed significantly to the overall growth of the non-petroleum sector, posting a substantial 3.7% rise in Q1 2026. This growth in services shows its increasing role in the Sultanate's economic landscape.

Economic Context and Comparison

Oman's Gross Domestic Product (GDP) reached OMR9,685.4 million in the first quarter of 2026. This figure marks an increase from OMR9,442.1 million recorded in the corresponding quarter of 2025, reflecting a solid year-on-year improvement. The preliminary data released by the National Centre for Statistics and Information (NCSI) provides a full overview of this economic performance. Within specific sectors, agriculture and fishing activities demonstrated growth, expanding by 6.1% in Q1 2026. Conversely, industrial activities experienced a decline of 1.2% during the same period. Service activities, a significant component of the non-petroleum sector, posted a 3.7% rise in the first quarter of 2026, contributing substantially to the overall economic expansion. The overall increase of 2.6% in GDP at constant prices notes the resilience and positive trajectory of the Omani economy.