Oman Secures Billions in Chinese Investment

MUSCAT - Oman Investment Authority (OIA), the Sultanate of Oman's sovereign wealth fund, has signed its largest-ever package of investment agreements in a single day with Chinese institutions and companies, worth billions of US dollars, during the state visit of Sultan Haitham bin Tarik to China.

The visit marks the first time an Omani Sultan has travelled to China, with the agreements signalling a significant shift in Oman-China economic relations from traditional trade towards joint investment, industrial localisation, technology transfer and long-term capital partnerships.

The agreements span several strategic sectors, including renewable energy, mining, logistics, digital technology, space and financial services, with most of the projects planned for Oman. Among the major agreements, OIA signed an arrangement with China's Silk Road Fund to establish an US$800 million joint fund, with the majority of its capital earmarked for investment in Oman. A further US$300 million fund was agreed with China Merchants Bank.

Partnerships with IDG Capital, Templewater and EW Partners represent another US$735 million in investments targeting clean energy, digital technology, smart manufacturing and utilities.

The package also includes significant infrastructure and industrial development projects. Nama Holding and State Grid International Development will cooperate on approximately US$1 billion worth of battery energy storage projects, with a combined capacity of one gigawatt.

OIA President Abdulsalam Al Murshidi said the agreements reflected the evolution of Oman-China relations towards investment partnerships that support economic diversification, future industries, job creation and knowledge transfer.

He said most projects would be developed in Oman, bringing capital, technology, manufacturing and specialised capabilities into the country while connecting Omani businesses with Chinese and international production, distribution and investment networks.

In renewable energy, O-Green and Shanghai Electric Wind Power Group signed a strategic partnership to develop wind-energy engineering and industrial capabilities in Oman. The collaboration includes plans for a research and development centre and turbine testing site in Duqm, alongside cooperation in green ammonia.

The mining sector also features prominently in the investment package. Minerals Development Oman awarded Hongda International a US$418.7 million, 10-year contract for the Mazoon Copper and Gold Project.

A separate US$100 million solar partnership will combine renewable energy development with solar inverter manufacturing in Oman.

Logistics cooperation is another major component, with Oman's state logistics group Asyad Group and JD.com agreeing to develop logistics facilities at Muscat Airport Free Zone, Khazaen Economic City and Sohar Free Zone.

The facilities are intended to strengthen Oman's connectivity with Gulf Cooperation Council (GCC) countries and East African markets, supporting its ambition to become a regional logistics and distribution hub.

Technology and skills development form another key pillar of the agreements.

The partnerships include a memorandum of understanding covering Oman's government digital-transformation programme. Omantel, the country's leading integrated telecommunications services provider, also signed an MoU covering the deployment of Ascend neural processing units and high-performance computing infrastructure to support advanced digital applications.

The space sector will receive significant attention under the new cooperation framework, with a programme designed to train 1,000 Omani specialists, sponsor 30 Omanis for postgraduate studies in China and establish a joint space artificial intelligence laboratory.

A separate Space Silk Road agreement covers the development, launch and operation of seven satellites in its first phase, alongside plans to establish satellite assembly, integration and testing capabilities in Oman.

OIA said it would continue strengthening the role of the private sector in the Sultanate's economic development. Through initiatives such as Future Fund Oman (FFO), the authority supports commercially viable projects across priority sectors while creating opportunities for partnerships with local and international investors.

Oman Investment Authority manages, invests and develops the country's national and international assets, with investments spanning more than 52 countries and sectors including energy, logistics, information and communications technology, financial services, food security, tourism, mining, industry and aviation.

The latest agreements represent a major expansion of Oman's economic engagement with China, positioning the relationship around industrial development, technology cooperation and investment-led growth rather than trade alone.