Oman’s hospitality sector experienced robust growth in the first half of 2025, with hotel revenues rising by 18% coinciding with a 1.14 million increase in tourist arrivals. The surge reflects the country’s growing appeal as a travel destination and effective tourism development strategies. TL;DR:
- Oman’s hotel revenues increased by 18% compared to the previous year. Tourist arrivals reached 1.14 million in the first half of 2025, a significant boost.
- Growth credited to enhanced tourism infrastructure, marketing initiatives, and expanding international connectivity.
- The government’s efforts to diversify the economy through tourism continue to show positive outcomes.
Details of the hospitality sector growth
The strong performance in Oman’s hotel industry comes amid rising global travel demand combined with Oman’s ongoing investment in its tourism sector. Hotel occupancy rates improved due to increased visits from key markets including Gulf Cooperation Council (GCC) nations, Europe, and Asia. Oman’s hospitality sector growth, marked by an 18% rise in hotel revenues and 1.14 million arrivals, signifies the country’s accelerating emergence as a leading travel destination in the Middle East. With sustained investments and strategic initiatives, Oman is poised for continued tourism expansion.Revenues across the three to five-star hotel segment reached OMR 141.21 million (US$367 million) in the first half of 2025, an 18.2% increase from last year, according to data from Oman’s National Centre for Statistics Information (NCSI).Industry experts attribute the revenue upswing to:
- Enhanced airport capacity and new flight routes.
- Development of luxury resorts, cultural attractions, and eco-tourism offerings.
- Aggressive marketing campaigns targeting both leisure and business travellers.
- Strategic collaborations with tourism partners to broaden Oman’s reach in global travel markets.
This growth is critical to Oman’s Vision 2040 plan, which seeks to reduce reliance on oil revenues by fostering sustainable tourism and creating jobs.
Oman’s tourism outlook
Officials anticipate continued momentum as more tourism projects reach completion and promotional activities expand. Visitor numbers are projected to rise further in the second half of 2025, driven by events, festivals, and seasonal attractions. The positive trend not only benefits hoteliers but also stimulates related sectors such as transportation, food and beverage, and cultural industries, contributing to broad economic diversification.Air connectivity has grown as well, with new European routes launching this summer, such as Muscat–Amsterdam, while Oman Air has also partnered with TUI to introduce Oman Air Holidays, a digital booking platform that promotes Oman as a destination and supports inbound tourism by offering integrated travel packages.The sultanate has committed US$31 billion to tourism development through 2040, of which US$5.9 billion is dedicated to new resorts and projects. Oman already counts luxury properties such as the Mandarin Oriental Muscat and St Regis Al Mouj, with more than 40 new hotels in the pipeline, including openings from Anantara and Nobu. By 2030, Oman aims to welcome six million international tourists annually, nearly double current levels and reach 12 million by 2040.
FAQ
Q. How many tourists visited Oman in the first half of 2025?Oman welcomed 1.14 million visitors in the first half of 2025, contributing to a strong tourism rebound.Q. By how much did Oman’s hotel revenues increase in this period?Hotel revenues surged by 18% compared to the same period last year, reflecting growing demand.Q. What factors are driving Oman’s tourism growth?Enhanced infrastructure, new flight routes, upgraded airports, luxury resorts, cultural attractions, and targeted marketing campaigns all contribute to the growth.Q. How does tourism growth fit into Oman’s broader economic plans?Tourism expansion supports Oman’s Vision 2040 by diversifying the economy, reducing dependence on oil revenues, and creating jobs in multiple sectors.
