Oman plans 9,600 new hotel rooms by 2030 amid tourism push

Dubai: Oman is set to add 9,600 new hotel rooms by 2030, expanding its existing inventory of about 36,000 keys by more than 25%, as its hospitality sector eyes a new growth era.

According to the latest Cavendish Maxwell report, revenues from 3- to 5-star hotels increased to OMR 141.2 million in the first half of 2025, a 18% rise year-over-year, driving employment in the sector up by nearly 5% to 10,800 jobs.

Hotel occupancy hit almost 55%, up more than 14% from the same period in 2024, while the average room rate held at OMR 47.7 ($124). Domestic travellers accounted for over one-third of guests, followed by Europeans, Asians and GCC visitors in descending order.

“Oman’s hospitality sector is entering a new era, driven by population growth, evolving travel patterns and strategic Government investment,” said Khalil Al Zadjali, Head of Oman at Cavendish Maxwell. He added that current gains in bookings, room rates, revenues and job creation are likely to continue through the year and beyond.

He also pointed to demographic trends, noting Oman's population growth of 4.55% in 2024 and 5% in 2023, with further increases expected this decade. Domestic travel is increasing in both scale and expenditure, and while Gulf visitors still account for a large share, arrivals from Europe, India, and China are also rising.

To meet demand, the report suggests that Oman must accelerate hotel and resort development beyond Muscat and move toward tourism diversification across its regions. With tourism expected to contribute 5% to the country's GDP by 2030 and 10% by 2040, the sector is poised to overtake transport and logistics, becoming the country’s second most important industry after hydrocarbons.