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Agreements accelerating two-way investment between Oman and the UK were signed this week as His Majesty Sultan Haitham bin Tariq concluded a state visit hosted by King Charles III, the UK government said in a statement on October 21. The new partnership builds on the 2022 UK-Oman Sovereign Investment Partnership and targets key sectors that include renewable energy, technology, critical minerals, space, healthcare and financial services. UK Export Finance will increase its financing capacity to 7 billion pounds for British exports to Oman, unlocking further trade according to the announcement. The centrepiece involves UK-founded Yamna signing to develop a large-scale artificial intelligence data centre in Salalah with the first phase exceeding 1 billion pounds in investment.
British direct investment in Oman reached 16.8 billion rials by the end of June according to figures from the National Centre for Statistics and Information cited by Oman News Agency. This marked an increase from 16.1 billion rials at end-2025 and 14.9 billion rials in 2024 with the UK accounting for more than half of Oman’s accumulated foreign direct investment. Bilateral trade totalled 387.9 million rials in the first seven months of 2026 exceeding the full-year figure for 2025 the same data showed. The developments align with Oman’s Vision 2040 which prioritises economic diversification beyond hydrocarbons.
Prime Minister Andy Burnham hosted Sultan Haitham at Downing Street where driving prosperity for both countries formed a central theme of the discussions the UK government reported. In the statement Burnham said he was delighted to welcome His Majesty noting that the UK and Oman have built a friendship which generates real benefits for people at home while looking forward to shaping the next chapter of the relationship. Oman’s ambassador to the UK Badr bin Mohammed Al Mantheri told Oman News Agency that the visit would add momentum to mutual investment particularly in clean energy green hydrogen technology innovation industry financial services and tourism.
British ambassador to Oman Liane Saunders highlighted opportunities in renewable energy advanced manufacturing financial services technology logistics tourism and agricultural technology in remarks reported by multiple outlets covering the visit. The discussions also touched on defence modernisation education skills culture and heritage as well as regional security issues including maritime stability in the Strait of Hormuz. Oman has maintained its investment-grade rating and offers incentives such as 100 per cent foreign ownership and tax exemptions that appeal to UK partners the Oman Observer noted in its coverage.
The visit marked the first state trip to Britain by an Omani sultan since 1982 and included a high-level delegation covering economy defence education foreign affairs trade and investment according to Oman Observer reporting. Earlier sovereign investment under the 2022 framework saw Oman commit 1.7 billion pounds into the UK the British government said. British exports to Oman reached 1.1 billion pounds in the four quarters to March 2026 providing a foundation for further growth in the relationship.
Yamna’s project in Salalah will export British expertise in infrastructure and create over 100 highly skilled jobs in the UK while generating returns for British-backed investors the UK government statement detailed. This forms part of broader efforts to support good growth across UK regions and Oman’s strategic economic zones. The National Centre for Statistics and Information data underscores the steady rise in UK investment which has diversified into non-oil sectors in line with Omani development priorities.
