Abu Dhabi invests AED 764.5 million in Oman tourism project

An Abu Dhabi investment project worth AED 764.5 million to strengthen tourism in Oman's Salalah has broken ground, with plans to construct a luxury resort and a marina, as the latter looks to diversify its economy.

Spanning an area of 2.5 million square metres in Jinawf, Oman, the development aims to significantly enhance the city’s tourism infrastructure and capacity through the construction of hospitality facilities and inch closer to the country's national goal of economic diversification.

The first phase of the project spans approximately 604,000 square metres, including the construction of a luxury resort which comprises over 120 rooms and chalets, as well as the developments of a marina, the rehabilitation of coastal and beachfront areas, and the implementation of essential infrastructure works - including roads and public utilities. 

"This project is a testament to the deep-rooted strategic ties between the UAE and Oman," said Mohammed Saif Al Suwaidi, Director-General of Abu Dhabi Fund for Development (ADFD). "The project also reflects our vision of economic diversification and our proactive approach to advancing sustainable development through meaningful regional partnerships and shared prosperity.” 

Azzan Al Busaidi, Under-Secretary of the Ministry of Heritage and Tourism for Tourism in Oman, emphasised that the project is expected to create hundreds of direct and indirect job opportunities while stimulating growth across key economic sectors.

He added that it will enhance local capabilities through the integration of SMEs in key projects and offering training and capacity-building programmes for Omani nationals in the fields of hospitality and tourism. The initiative aligns with Oman Vision 2040, which positions tourism as a central aspect for economic diversification, particularly in regions with abundant natural resources such as Dhofar. 

Aligned with ADFD’s strategic investment goals, the project goes beyond enabling Oman’s economic and tourism development. It also will bolster the tourism’s sector’s contribution to Oman’s GDP, generate employment opportunities and support infrastructure development, further solidifying the country's position as a leading tourism hub in the region.