Investment Climate

1
Investment Climate Opportunities
2
Agenda

• Economic Overall vision
• OCIPED vision and Mission
• Economic policy
• Investment Opportunities

3
The basis of the National Economy is justice
Omans Vision

• and the principles of Free Economy

4
OCIPEDs Vision

• Creation of wealth through investment Promotion
  and Export Development

5
OCIPEDs Mission

• Individuals right to chose in Commercial
  Transactions
• Ability to Voluntary Exchange of Goods and
  Services
• Freedom to Compete
• Protection of personal, intellectual and property
  rights
• Ability to access Sound Money

6
Economic Policy

• Size of Government
• Legal Structure Security of Property Rights
• Sound Money
• Freedom of Exchange with Foreign
• Regulation of credit, labour business

Source EFW2008
7
Size of the Government
Source EFW2008
8
Size of the Government

• General Govt. Consumption 2.63
• Transfer Subsidies 9.4
• Government Enterprises 0
• Top Marginal Tax 10
• Top Marginal Income tax rate
• Top Marginal income payroll tax

Source EFW2008
9
Legal Structure Security of Property Rights
Source EFW2008
10
Legal Structure Security of Property Rights

• Judicial Independence 6.1
• Impartial Courts 6.46
• Protection of Property Rights 6.28
• Military Interference 8.33
• Integrity of the legal System 8.33
• Legal Enforcement 5.14
• Regulatory restriction of the Sale of Property
  8.71

Source EFW2008
11
Sound Money
Source EFW2008
12
Sound Money

• Money Growth 8.52
• Standard Deviation of Inflation 9.44
• Inflation most recent year 9.36
• Freedom to Hold Foreign Currency
• Bank Accounts 10

Source EFW2008
13
Freedom to trade internationally
Source EFW2008
14
Freedom to trade internationally

• Taxes on International Trade 7.6
• Revenue from Trade Taxes
• Mean Tariff Rate
• Standard Deviation of Tariff Rat.
• Regulatory Trade Barriers 6.04
• Non Tariff Barriers
• Compliance of Cost of Import Export

Source EFW2008
15
Freedom to trade internationally

• Size of Trade Sector 5.25
• Black Market Exchange Rate 10
• International Capital Market Control 6.76
• Foreign Ownership
• Capital Control

Source EFW2008
16
Regulations to Credit, Labor and Business
Source EFW2008
17
Credit Market Regulation
Source EFW2008
18
Regulations to Credit, Labor and Business

• Credit Market Regulation 8.78
• Ownership of Banks
• Foreign Bank Competition.
• Private Sector Credit
• Interest Rate Controls

Source EFW2008
19
Labor Market Regulations
Source EFW2008
20
Regulations to Credit, Labor and Business

• Labor Market Regulations 7.39
• Minimum Wage
• Hiring and Firing Regulations
• Centralized Collective Bargaining
• Mandated Cost of Hiring
• Mandated Cost of Workers Dismissal
• Conscription

Source EFW2008
21
Business Regulations
Source EFW2008
22
Regulations to Credit, Labor Business

• Business Regulations 6.52
• Price Control
• Administrative Requirements
• Bureaucracy Cost
• Starting a Business
• Extra Payments / Bribes
• Licensing Restriction
• Cost of Tax Compliance

Source EFW2008
23
Summery of Over All Rating
Source EFW2008
24
Priority Sectors

• Chemicals Pharmaceuticals
• Plastics
• Tourism
• Metals
• Renewable Energy
• Information Communications Technology
• Marine
• Automotives
• Financial Services
• Professional Services

25
Priority Sectors Identified Opportunities
Chemicals Pharmaceuticals
- Manufacture of methanol derivative
products - Pharmaceuticals - Manufacture of
specialist and consumer products
26
Priority Sectors Identified Opportunities
Plastics

• Downstream manufacture of polypropylene products
• - Non-woven
• - BOPP film
• Bulk containers woven
• sacks
• - Polypropylene ropes
• - Hollow corrugated sheets
• - Cast films
• - Injection moulded luggage

27
Priority Sectors Identified Opportunities
Tourism
- Luxury hotels - Green hotels - Business
hotels - MICE - Tourist attractions and Sports
facilities operators - Tourism support services
28
Priority Sectors Identified Opportunities
Metals
-Aluminium Rolling - Automotive Parts - Building
and Construction products - Packaging and
consumer goods - Industrial products and
treatments
29
Priority Sectors Identified Opportunities
Renewable Energy
- Solar power generation - Solar power
Desalination - Manufacture Solar Cells - Solar
energy technology - Research and design (RD)
30
Priority Sectors Identified Opportunities
Information Communications Technology
- Internet Service - Hardware manufacture/
assembly - Customer support centres for Arabic -
IT consulting and integration services -
Back-office transaction - Software development
31
Priority Sectors Identified Opportunities
Marine
- Aquaculture - Pearl cultivation - Fish
processing - Fishing port development - Fishing
ship and boat - RD activities
32
Priority Sectors Identified Opportunities
Automotives
- Plastic and metal components - Electronic
Components - Navigation systems - Subsystem
assembly - IT System
33
Priority Sectors Identified Opportunities
Financial Services
- Project finance - Business finance - Consumer
finance - Private banking - Asset management -
Insurance
34
Priority Sectors Identified Opportunities
Professional Services
- Legal Services - Accounting - Market
Research - Management consultancy - Technical
consultancy - Advertising
35
Duqum Development

• Over 20,000 hectares 500,000 population
• Aircraft maintenance Heavy lift Air logistic
• Aircraft design engineering
• Aviation college
• Industrial Commercial and Warehousing Zones
• Medical Zone, Education Zone
• Tourist Hotel Zone
• Sports Entertainment Zone
• Office Exhibition Zone
• Villas Residence Zone

36
Thank You
OCIPED P.O.Box 25 Wadi Kabir, PC 117 Sultanate
of Oman Tel [phone] Fax
968-24810890 www.ociped.com Investment inquiries
invest_at_ociped.com