Salalah – His Majesty Sultan Haitham bin Tarik presided over a Council of Ministers meeting on Tuesday at Al Hosn Palace in Salalah, reviewing economic, health, investment and tourism priorities and directing a series of measures to strengthen Oman’s economic and institutional performance.

In light of a briefing on the preliminary projected outcomes of the 2026 budget, the council underscored the need to strengthen fiscal policies and their ability to respond to emerging developments and external fluctuations, while safeguarding Oman’s economic and financial position and supporting sustainable stability.

His Majesty the Sultan directed the preparation of a long-term plan to expand the non-oil trade balance, drawing on local raw materials, increased domestic production, Oman’s strategic location, ports and infrastructure, and trade agreements with various countries. Implementation is to begin at the start of 2027.

Health and pharmaceuticals

The council reviewed a report on major health projects that have been completed and those due for completion, as well as key existing and ongoing projects in medical industries.

After commending the achievements, His Majesty the Sultan thanked those working in the health sector for their efforts and contribution to developing healthcare services.

His Majesty the Sultan also approved a proposal to establish specialised industrial clusters for pharmaceutical industries and medical devices in economic and free zones, aimed at strengthening national pharmaceutical security and supporting the localisation of pharmaceutical and biomedical industries.

Government performance

The council reviewed the first-half 2026 assessment of government institutions issued by the Government Institutional Performance Measurement Unit, along with annual follow-up reports submitted by government entities.

The results showed improved performance and continued progress in meeting targets and strengthening institutional effectiveness.

His Majesty the Sultan commended government entities that recorded high performance and those that improved planning, coordination and follow-up to achieve their objectives.

The council also reviewed the performance of a number of national programmes and commended their contribution to developing several sectors.

To strengthen institutional integration and improve the business environment, the council approved the National Programme for Enhancing an Investment-Attractive Business Environment, which will be launched at the beginning of 2027.

The programme is intended to strengthen competitiveness, attract local and foreign investment and improve services for citizens, residents and investors.

Municipal councils

With preparations under way for the fourth-term municipal council elections in December, His Majesty the Sultan directed a comprehensive assessment of the powers and responsibilities of Municipal Councils, their roles and their integration with the work of governors.

His Majesty the Sultan stressed the importance of effective participation by all sections of society and making sound choices in the elections to ensure the councils have the expertise and capabilities needed to strengthen their work in the next phase.

Dhofar tourism

Reviewing the strong visitor turnout during this year’s khareef season, His Majesty the Sultan expressed satisfaction with the efforts of Dhofar and the relevant authorities in supporting economic development.

His Majesty the Sultan stressed the need to keep pace with rising tourist numbers and continue improving services and facilities for visitors through cooperation between government entities, the private sector and the local community. Such efforts, he said, support the local economy and its sustainability.

Regional situation

Against the backdrop of continuing regional challenges, the council reaffirmed Oman’s position based on constructive neutrality, conflict containment and giving priority to dialogue and political solutions, while respecting the sovereignty of states and principles of good neighbourliness.

His Majesty the Sultan renewed his appreciation for the efforts of the military and security services and civil authorities in protecting the country, ensuring continuity of goods supplies and facilitating transport procedures and the movement of people and trucks.

Royal visits

His Majesty the Sultan also briefed the council on the outcomes of his recent visits to a number of countries, describing them as successful in advancing bilateral relations, people-to-people ties and commercial, economic and investment exchanges.

His Majesty the Sultan directed the relevant authorities to maximise the benefits of agreements and understandings concluded during the visits and work towards achieving their objectives in support of national priorities, including economic growth, higher exports and increased GDP.