Muscat – Oman Investment Authority (OIA) signed a Memorandum of Cooperation (MoC) with Authority for Small and Medium Enterprises Development (ASMED) as part of the efforts made by OIA and its entities to enhance the local content and In-country Value (ICV).

Under this cooperation programme, a financing scheme will be launched and managed by ASMED. It is directed to SMEs that are awarded contracts (tenders, procurements, or business opportunities) by OIA’s entities, whereby they are funded by 80% (i.e. a maximum of OMR 250,000) of the contract/tender’s value.

To ensure the effectiveness of the financing programme, ASMED has established certain criteria for submitting funding applications. These include successfully completing the Entrepreneur Readiness Programme, an intensive training initiative designed to develop technical and entrepreneurial skills necessary to adapt to the rapidly changing entrepreneurial landscape. The programme also aims to enhance technical and technological practices that contribute to the long-term viability of projects, including project establishment, development, and crisis management.

Halima bint Rashid al Zaria, Chairperson of ASMED, said, “This agreement is a valuable opportunity to strengthen our strategic partnership with OIA and to continue providing incentives and facilities to SMEs through ICV programmes through contracts, tenders, and business opportunities by OIA entities. This programme rather reflects OIA’s commitment to supporting SMEs and enhancing their sustainability and contributions to the national economy. Given the recent aspirations and the attention given to amendment of regulations and legislation to ensure the provision of business opportunities and assignment of procurement and tenders to entrepreneurs, this partnership will contribute to creating more business opportunities for SMEs and enhance their understanding of future industry needs, supplies, and services.”

Halima highlighted the importance of specialized skills, which will be further developed through various programmes in line with the standards and requirements set by OIA entities across different economic sectors.

Sheikh Nasser al Harthy, Deputy President of Operations at OIA, said “In line with the Royal directives on enhancing the local content, the programme contributes to the efforts aiming to localise domestic industries and strengthen the role of SMEs in national economy development, in addition to encouraging national services and products instead of relying on imports. This will ultimately contribute to the efforts made by OIA and its entities to empower the private sector and support the national economy.”

In addition to creating business opportunities for SMEs through ICV programmes by OIA entities, the programme aims to provide information and data regarding future needs of industries, supplies, and related services that can be localised or developed locally. This increased insight will enable SMEs to compete more effectively and take advantage of a broader range of business opportunities, ultimately leading to the creation of direct and indirect job opportunities for the national workforce.