Muscat – Taxi owners and drivers will be able to access financing of up to RO15,000 to switch to electric and hybrid vehicles under a new initiative supporting the country’s green mobility goals.

The Ministry of Transport, Communications and Information Technology has signed a memorandum of understanding (MoU) with Obar Smart Cities Company, Oman Taxi and Oman Arab Bank to support the transition to cleaner taxi vehicles and contribute to national efforts to reduce emissions and achieve net-zero targets.

The first phase of the initiative will provide financing for up to 200 vehicles, with the programme potentially expanding to more than 5,000 vehicles in the future.

Eligible applicants can obtain financing of up to RO15,000 per vehicle, with repayment periods of up to seven years, subject to the bank’s approved credit policies and procedures.

The MoU was signed by Abdullah bin Ali Al Busaidi, Director General of Oman Logistics Centre; Ahmed bin Salem Al Siyabi, CEO of Oman Taxi; and Jumaa bin Khalfan Al Falaiti, Deputy Head of Retail Banking at Oman Arab Bank.

Under the agreement, the ministry will provide overall supervision and ensure that the initiative is aligned with relevant national plans and legislation.

Oman Taxi will manage and implement the programme, assess eligible beneficiaries and approve suitable vehicles, while Oman Arab Bank will provide financing solutions to qualified applicants.

The initiative targets licensed Omani taxi owners and drivers operating under Oman Taxi, enabling them to renew their vehicles and move towards more sustainable transport options.

The programme supports Oman’s wider efforts to promote green mobility and reduce emissions from the transport sector as the sultanate advances towards its net-zero objectives.