Total investments in Khazaen Economic City reach $1bn
The Khazaen Economic City has witnessed a remarkable milestone as total investments in the city have exceeded $1bn by the end of 2023, with the majority of investments originating from foreign investors.
Located in South Batinah Governorate, Khazaen Economic City stands as the first integrated economic city and free zone in the sultanate, developed through a collaboration between the public and private sectors.
In an interview last week featured in the latest issue of Duqm Economist, a quarterly magazine issued by Oman's Public Authority for Special Economic Zones and Free Zones (OPAZ), Eng Salim bin Sulaiman al Thuhli, CEO of Khazaen Economic City, disclosed that the total investments in Khazaen are expected to have reached approximately $1bn by the end of 2023.
He emphasised the substantial interest shown by foreign investors in contributing to the city's growth, with foreign investments totaling around $583mn, constituting 57.7% of the overall investment, while local investments stood at $483mn.
"These investments are spread across four main sectors, with the industrial sector receiving $345mn, the food sector $273mn, the pharmaceutical sector $301mn, and the logistics sector $122mn," Thuhli added.
Thuhli underscored that the considerable investments in Khazaen reflect the favorable investment atmosphere in Oman and the strong interest shown by both local and international companies. He praised the relentless efforts of companies operating within the city and the dedication of partners working diligently to achieve the city's objectives.
Strategic location
Describing Khazaen's location as strategically significant, Thuhli highlighted its prime position along the Al Batinah Expressway. Situated just half an hour from both Muscat International Airport and Suwaiq Port, and approximately two hours from Sohar Port, the city plays a pivotal role in bolstering the movement of goods among Omani airports and ports, utilising the available storage facilities within Khazaen Economic City.
"This geographical positioning enables approximately 80% of Oman's population to access the city within a mere two-hour time-frame through an extensive dual road network linking it to different governorates. This advantage significantly boosts the potential success of investors' projects. Moreover, the location facilitates convenient access to roads leading to international land ports and the domestic road network," Thuhli said.
Positioned within a logistics network, the Khazaen Economic City enjoys direct connectivity to diverse airports and ports across Oman. Its infrastructure has been prepared to incorporate a future railway system, further strengthening its logistical ties with both land and sea ports.
According to Thuhli, the city offers a comprehensive investment atmosphere and an appealing business environment for investors. He highlighted the city's diverse array of integrated investment sectors encompassing logistics, food, pharmaceuticals, industrial ventures, technology, business sectors, and clean energy, as well as supportive sectors within commercial and residential domains.
Thuhli emphasised that the high-quality projects within Khazaen Economic City serve as significant attractions for investors, including the Food City, the Khazaen Land Port, staff housing, the International Logistics Center, and the one-stop shop for licensing.
"The Food City encompasses a Central Market for Vegetables and Fruits within Khazaen. Meanwhile, Khazaen Land Port - the first international land port in Oman - offers comprehensive logistical solutions tailored for investors within the city. Also, the first comprehensive staff housing is currently under development within Khazaen."
“The future plan for Khazaen City incorporates the establishment of integrated housing units aimed at fostering a seamless blend of living, working, and entertainment aspects within the city, catering to all investors,” Thuhli added.
Investments in Khazaen Economic City are spread across four main sectors, with industrial sector receiving $345mn, food sector $273mn, pharmaceutical sector $301mn, and logistics sector $122mn