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Oman — The Gulf's Most Politically Neutral Country with Diverse Landscapes

Oman opened permanent residency through investment programs starting in 2021, available for 5 or 10-year terms. It has no personal income tax and is known as the most politically neutral nation in the Gulf region.

Oman — illustration for the article Oman — The Gulf's Most Politically Neutral Country with Diverse Landscapes
F igy · CC0 · Wikimedia Commons
OMAN · 23.588°N 58.3829°E ◉ Muscat
CapitalMuscat
Population~4,600,000
CurrencyOMR
Passport rank#47 Global
Visa-free85 destinations

Overview

Oman is located at the southeastern corner of the Arabian Peninsula, covering approximately 310,000 km² with around 5 million inhabitants.

In 2021, Oman launched an investment-based permanent residency program offering two terms: 5 years and 10 years, depending on investment level.

Geography and Climate

This is where Oman differs significantly from other Gulf countries: extremely diverse terrain. The country features the Hajar mountain range exceeding 3,000 meters in elevation, deep canyons, the Wahiba desert, and over 3,000 kilometers of coastline along both the Gulf of Oman and the Arabian Sea.

The Dhofar region in the south experiences a unique phenomenon in the region: the khareef monsoon season from June to September brings rainfall and transforms the entire region into lush greenery, with temperatures dropping to around 25°C while the rest of the Arabian Peninsula experiences temperatures above 45°C. The city of Salalah has become the summer retreat destination for the entire Gulf region.

Muscat and the northern regions are hot and dry, with summer temperatures exceeding 40°C.

History and Culture

Oman was once a maritime superpower, controlling Zanzibar and portions of the East African coast. Its seafaring and trading traditions predate the oil industry by centuries.

Oman follows the Ibadi school of Islam — distinct from both Sunni and Shia traditions — which is closely connected to the country's most distinctive foreign policy feature: political neutrality. Oman maintains relations with virtually all parties in the region and frequently serves as a mediator. For those seeking residency in the Gulf, this is an important factor to consider.

Omanis are known for their courtesy and discretion. Arabic is the official language, while English is widely used in Muscat and in business.

Economy and Taxation

No personal income tax. There is a low-rate value-added tax and corporate tax.

The economy is based on oil and gas but is diversifying into tourism, logistics, and mining. Duqm Port is a major infrastructure project designed to become a regional transshipment hub.

Cost of living is considerably lower than Dubai and Doha, while Muscat's infrastructure quality is at a high standard.

Residency Program

Oman Investor Permanent Residency, launched in 2021, offers two terms of 5 and 10 years depending on investment level.

Advantages:

  • Permits property ownership and business establishment without requiring a local sponsor
  • No personal income tax
  • Can sponsor family members
  • Cost of living significantly lower than Dubai

Disadvantages:

Does not lead to citizenship, consistent with all Gulf states.

Time-limited, requiring renewal — unlike Bahrain, which grants unlimited residency.

Smaller economy and less internationally integrated than the UAE. For those needing an international financial center, Dubai or Bahrain would be more suitable.

Domestic market of 5 million people, with most at middle-income levels.

We have not processed applications under this program. Investment amounts and conditions may change — verify with the relevant authorities.

Who Should Consider Oman

Well-suited for those seeking Gulf residency at lower costs than Dubai, and who value political stability and neutrality.

Well-suited for those interested in owning property in the Gulf without requiring a local sponsor, particularly in Salalah where the climate is pleasant for four summer months.

Not well-suited for those seeking a passport, or requiring a large international financial center.


This information is for reference only and does not constitute legal or investment advice.

Frequently asked questions

How long does Oman permanent residency last?

Two terms of 5 years and 10 years depending on investment level, and must be renewed. This differs from Bahrain, which grants unlimited permanent residency.

Does Oman have personal income tax?

No. There is a low-rate value-added tax and corporate tax, but no personal income tax.

Can foreigners buy real estate in Oman?

Yes. The investor permanent residency program allows property ownership and business establishment without requiring a local sponsor.

Is Oman's climate as hot as other Gulf countries?

Muscat and the north are hot and dry, with summer temperatures exceeding 40°C. However, the Dhofar region in the south experiences the khareef monsoon season from June to September, bringing rainfall and lowering temperatures to around 25°C — Salalah serves as the summer retreat for the entire Gulf region.

Does Oman permanent residency lead to citizenship?

No. The Gulf states generally do not naturalize foreigners.

🇴🇲 Key figures Oman Current investment thresholds, fees, processing times and requirements

Interested in Oman?

A Viking Global Group adviser will advise on your case free of charge.

This content is for reference. Immigration rules change over time — please contact a Viking Global Group adviser about your specific case.