Oman's Tourism Sector Surges Past OMR 1 Billion Expenditure in 2025

Oman's inbound tourism expenditure is projected to surpass OMR 1 billion in 2025, according to recent figures, with inbound tourism expenditure exceeding OMR 1 billion in 2025. This financial milestone marks a significant achievement for the sector, reflecting strong growth and increasing international interest in the Sultanate. Looking ahead, the Eleventh Five-Year Plan (2026–2030) outlines strategic objectives aimed at strengthening the sector’s competitiveness and boosting its overall contribution to Oman's economic growth, specifically focusing on enhancing its overall contribution to the national economy.

Visitor Numbers and Spending

Oman recorded 4 million visitors in 2025, marking a significant increase in its tourism traffic. This substantial influx of international guests shows the country's growing appeal as a premier travel destination. These inbound tourists spent an average of OMR 256 per visit during their stay in the Sultanate, contributing significantly to the local economy. Data further indicates that the average inbound tourist stayed for 6.5 nights, a duration that allows for deeper engagement with Oman's diverse cultural and natural attractions, thereby contributing to the overall expenditure within the country. This level of spending and duration reflects the growing appeal of Oman as a tourist destination, attracting visitors who are willing to invest in their travel experiences. The figures show the sector's expanding capacity to attract and retain international visitors, aligning with broader economic diversification goals and showcasing the effectiveness of tourism promotion efforts.

Hotel Sector Rebounds Strongly

Oman's hotel sector experienced a significant rebound, with the number of hotel guests rising to more than 5 million in 2025. This represents a substantial increase from 3.5 million guests recorded in 2018, demonstrating a strong recovery and expansion in accommodation demand. The total number of hotels reached approximately 1,475 by the end of 2025, marking an impressive increase of over 1,000 hotels compared with 2018 figures, indicating substantial investment and development in hospitality infrastructure. Hotel revenues also showed a strong recovery, reaching OMR 359 million in 2025. This contrasts sharply with OMR 259 million in 2018 and a low point of OMR 102 million during the challenging period of the COVID-19 pandemic. Following the pandemic-induced downturn, revenues began climbing again, reaching OMR 224 million in 2022, OMR 276 million in 2023, and OMR 293 million in 2024, demonstrating consistent growth leading up to the impressive 2025 surge. This sustained upward trend notes the resilience and renewed vitality of Oman's hospitality industry.

Economic Contribution and Employment

Tourism's contribution to Oman's Gross Domestic Product (GDP) at current prices reached OMR 1.135 billion in 2025. This figure represents a strong 37.6 percent increase from OMR 825 million recorded in 2018, showing tourism's growing importance as a key economic driver. The direct added value generated by tourism activities totaled approximately OMR 1.107 billion in 2025, reflecting the direct economic impact across various sub-sectors.

Hotel activities contributed a significant OMR 252.1 million to this direct added value, showcasing the substantial role of accommodation services. Travel agencies and other reservation services accounted for OMR 242.7 million, facilitating visitor access and planning. Restaurant activities generated OMR 198.8 million in direct added value, catering to the culinary needs of tourists. Meanwhile, transportation activities contributed OMR 196.5 million, ensuring smooth movement for visitors within the country. Cultural activities provided OMR 18.8 million, noting the value of Oman's rich heritage and traditions. Other tourism activities collectively accounted for OMR 197.9 million of the direct added value in 2025, showing the broad economic impact of the sector and its diverse offerings.

Sector Growth and Future Goals

Oman Vision 2040 aims to increase tourism's contribution to the Gross Domestic Product to 3.5 percent by 2030 and further to 5.3 percent by 2040, setting ambitious targets for the sector's expansion. The tourism sector employed more than 182,000 workers in 2025, demonstrating its significant role in job creation. The number of Omanis working in tourism establishments reached approximately 32,000 in 2025, an increase from 28,000 in 2024 and 25,000 in 2023, reflecting a positive trend in nationalization within the industry.

Businesses operating in tourism-related activities exceeded 24,000 in 2025, representing growth of more than 40 percent compared with 2020, indicating a dynamic and expanding entrepreneurial landscape. Muscat Governorate accounted for 43.5 percent of these tourism establishments, solidifying its position as a primary tourist hub. Dhofar Governorate comprised 17.5 percent, attracting visitors with its unique natural beauty and cultural sites, and North Al Batinah Governorate made up 11 percent of the total establishments, contributing to regional tourism development. This geographical distribution notes the widespread development of tourism infrastructure and services across the Sultanate.