Introduction Economic Growth and Diversification of the economy

            From the past, it can be seen that Oman is one of the most important gateways for important trading between Asia and other Middle East countries. This country mainly focuses on their economy, and they made Muscat one of the most developed cities in the world and also it is the main center of the economic activities due to its best coastal location. It can be seen that oil is one of the most important factors in the Omani economy, and its oil industry is one of the major catalysts for their GDP. From the year 1993 to 1996 the averaged GDP percentage was about 4.4, and then it was increased up to 6.2 in 1997. In 1980 the crude oil was introduced that is contributing 30 per cent in the GDP of Oman.

This country is extremely different from other countries like UAE and Saudi Arabia, and the reason is that it is extremely difficult to extract oil from the ground from these countries. Also, it can be seen that before 1960, before the discovery of oil, the Economy of Oman only depends upon agriculture.  Through this, there is no need for much labour to control the oil industry in Oman. Due to this, unemployment is increased, and the population of this country is also increasing, that creates a huge problem for the country’s economy in the future. In this report, there are some questions that are representing some issues regarding the Oman Economy.