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Finance Ministry Introduces New Rules for Duty-Free Shops in Oman

Oman’s Ministry of Finance has issued a new list of regulations, conditions, and procedures applicable for purchases and sales as well as establishing new duty-free shops.

The Ministerial decision comes with a list of regulations, conditions, and procedures for duty-free shops.

Oman Sets New Rules for Opening Duty-Free Shops

According to the decision issued by the ministry, “Departing passengers and transit passengers on international flights and departing aircrew members can purchase items from the duty-free shop by submitting their passports and boarding pass at the duty-free sales counters,” as shared in a report by the Times of Oman.

Accordingly, the license to start a free market will be issued for two years at a fee of RO 5,000 which is renewable for another two years for a similar fee if the request is made 30 days before the expiry of the initial license.

The new regulation has specified the procedures for obtaining a license to establish a free market, including referral to the competent authorities requesting the establishment of the free market – within its jurisdiction – to the administration to give its initial opinion to approve or not, as well as the installation of cameras and surveillance devices in the free market warehouse and other places in accordance with the specifications of the Royal Oman Police.

The companies will comply with the provisions of the regulations within a period not exceeding six months from the date of its implementation.

Duty-Free Shops at Airports

Based on Article 15, “Sales staff are obliged to deliver to the buyer, a receipt containing the number of units sold, their inventory number, the type of item, the name of the airport where the sale was made and the price of the item.”

Furthermore, the decision states, “Sales staff are prohibited from selling in the event of cancellation of the flight or if the passenger retracts from travel and in the case of flight delays where passengers can not stay in the departure lounge.”

This means that in the event of a flight cancellation, the staff shall be obliged to cancel the sale which has taken place. And in case the traveler forgets his purchases, the goods must be returned to the duty-free shop and the sales staff should cancel the sale and notify the Customs office.

It would be best to coordinate with airport officials as well as duty-free representatives regarding such changes to ensure full compliance with the regulations set by the ministry.

ALSO READ: Royal Oman Police to Launch Online Work Visa Facility this September

Royal Oman Police to Launch Online Work Visa Facility this September

Royal Oman Police Targets Launch of Online Work Visa Facility this September

The Royal Oman Police (ROP) announced that it is planning to launch its online work visa facility in September this year.

Recently, the ROP has launched an e-mail notification facility on visit visas. These documents contain specific visa information such as photographs of the visa holder. There are five types of visas under the e-visa option offered by Oman’s online facility at present.

Oman to Launch Online Work Visa Facility in September

According to the ROP, “The facility is likely to be available from the second half of September. We conducted a trial run with a few companies last month to iron out the glitches. Everything went well and there were no issues. We are hopeful that everything will be in place before the launch”, as shared in a report by the Muscat Daily.

Furthermore, the e-visa facility will be made available via https://evisa.rop.gov.om. The ROP explained that company representatives can also visit the website to gain a better understanding of the online work visa application system.

Of note, only Oman-issued debit cards can be used for payment to conform to the Central Bank of Oman’s new regulations.

“This is mandatory for receiving online applications for work visas. Some Sanad offices are already providing the e-visa facility. This service will be extended and used much more once the online facility is introduced,” an ROP representative disclosed.

Among the visa types offered under the e-visa facility are unsponsored tourist visas for GCC and Group 1 countries; sponsored tourist visas for remaining countries (other than those in the Group 1 category); multiple-entry visas for one year and multiple-entry visa for ten years for American citizens as well as Express visas.

The Oman eVisa was first introduced in March 2018 to streamline the process of obtaining a Tourist visa to visit the country. However, Oman is now specifying that visitors to the country will need to apply for visas a week in advance of travel.

In a statement shared by the ROP, “It is recommended to have the application sent at least one week before you travel.” The directive also applies to those applying for tourist visas which need to be used for “one month from the date of issue.”

Of note, the Sultanate has recently stopped issuing visas on arrival in February 2019.

There is currently a temporary ‘Visa on arrival kiosks’ in Muscat International airport. However, for those who didn’t apply for an eVisa, there is no information on how long these kiosks are going to be there for, so it’s advisable to apply for an eVisa before flying Oman.

ALSO READ: Oman to Introduce Expat Visa Ban for Senior Management Roles

Oman Extends Visa Ban on 4 Expat Professions

Following the recent visa ban on expat workers in the Sultanate, Oman’s Ministry of Manpower has one again announced a temporary ban on hiring expats to include four more professions in the private sector.

The decision falls under the Sultanate’s Omanisation process, which was set to provide more employment opportunities for Omanis in both the public and private sector. Also, this initiative underscores the work of the new National Centre for Employment (NCE), which had only been established last March, which aims to replace expats with Omanis in various sectors.

Four Expat Professions Included in New Hiring Ban in Oman

The temporary visa ban will apply to jobs in the sectors of IT, accounting and finance, sales and marketing, management and human resources, insurance, media, medical, airports and engineering, as shared in a report by the Times of Oman.

In a statement, the ministry said, “The period of the ban on permits to bring temporary expatriate manpower into private sector establishments for the professions specified in Ministerial Decision No. 73/2019, shall continue for a period of six months from August 5, 2019.”

It can be recalled that the Sultanate had extended the ban to include carpenters, metallurgy workers, blacksmiths, and brick kiln workers earlier in July.

Upon the creation of the NCE, the centre will open branches in various parts of Oman to suggest qualified Omani jobseekers for various positions before the Ministry of Manpower approves requests for labour permits to fill positions with foreign talents.

This only means that if a company files a request for an expat visa, the centre will first determine whether there are any qualified Omanis to fill the role.

This system is evident not only in Oman but also in other Gulf countries such as Kuwait, Qatar, Saudi Arabia, and the UAE.

Although this will only be a temporary measure that will limit the opportunities presented to expats in the Sultanate, the roles which will be assigned to nationals will create a positive impact for the country’s economy as well as its people, since they are already looking for a sustainable workforce, where nationals are actively participating in direct proportion to the benefits that they receive from the national government.

For now, expats in the affected fields can set their sights on other opportunities available to them elsewhere because the Middle East, in general, is dealing with internal issues that affect their economic growth and performance – not to mention the growing turmoil in the region due to political differences held by Arab leaders.

ALSO READ: Number of Expat Health Workers in Oman Take Huge Hit in 2018

Number of Expat Health Workers in Oman Take Huge Hit in 2018

Number of Expat Health Workers in Oman Take a Huge Hit in 2018

Not even the historic significance and contributions of expat workers in the country can challenge the new nationalisation programme, which aims to bring in more Omani workers into the workforce to help the sultanate’s challenged social system and economic performance.

As several countries in the Middle East have already imposed its nationalization scheme, many foreign nationals who have long been eyeing employment in the Gulf region, and even those who have already been in the workforce, are experiencing a major shift from being stably employed to permanently out of place across various industries wherein they have already earned their keep throughout the years.

Expat Health Workers in Oman Replaced by Citizens by the Thousands

In line with this, around 3,000 expats employed in Oman’s health sector were replaced in 2018 as the on-going Omanization project aimed at reducing unemployment levels among the country’s nationals pushes through, as shared in a report by the Arab News.

From 2015 to 2019, around 2,869 foreign nationals were replaced by Omanis, pushing the proportion of locals working within the Ministry of Health to 39,220 – which is now at 71 percent of the total workforce by the end of last year – according to Ministry of Health figures.

In January 2018, the Sultanate introduced a six-month visa ban across certain professions, and there have been a number of extensions to the ban since then and it has also been expanded to cover other industries and professions.

As a result, tens of thousands of Omanis have found work since the ban was brought in.

However, looking at history, Gulf countries have long been dependent on expatriate workers to power their economies.

In 2013, a survey revealed that up to 71 percent of Oman’s labour force were foreign-nationals.

Furthermore, labour estimates revealed that in Qatar, the expatriate workforce was as high as 95 percent, in the UAE it was 94 percent; 83 percent in Kuwait; 64 percent in Bahrain; and 49 percent in Saudi Arabia.

However, due to the challenges brought by the oil crisis that has hit the region in recent years, the ballooning cost of social services among unemployed nationals simply cannot sustain economies that apparently give out more than what they receive, thus, the nationalisation programme came to be.

These programmes aim to absorb more of their citizens into the workforce, slashing the high levels of unemployment, and creating an environment, where nationals are capable of producing money through their own efforts, as well, and not only through their dependence from their governments.

ALSO READ: Manpower Ministry to Rectify Work Status of Over 16,000 Expats in Oman

Mall in Oman Soon to Open Inside Sports Club Premises

Despite being one of the relatively smaller countries in the region, Oman has matched all its contemporaries in terms of wealth, natural resources, and economic performance, among others.

Along with the national government’s efforts, many stakeholders and other industry leaders in the country are also developing new ways to position the country in the region among the best in terms of innovation and services in their respective fields. This makes Oman among one of the most exciting places to visit in the Middle East.

A Mall and Sports Club in One: A First in Oman

And in a first of its kind, one of Oman’s most decorated clubs, Seeb, has announced that it is all set to open a mall on its premises, as shared in a report by the Muscat Daily.

The new project, known as the Grand Bazar Seeb, will span over 10,000 sqm, and is expected to be formally opened early next month, and will be an example for the other clubs in the country to follow.

According to HH Sayyid Shihab bin Tariq al Said, the club’s president, the Grand Bazar Seeb will serve the youth and the people of the wilayat of Seeb.

He added, “It is a project that we envisaged many years back and we are happy to see it completed. It is an example of how sports clubs in the sultanate can look into private investment opportunities to become self-reliant. The Grand Bazar Seeb will boost the club’s financial well-being and is certain to provide benefits on all fronts.”

Of note, Sayyid Shihab has been instrumental in leading Seeb Club to great heights as it boasts of a record number of 12 His Majesty’s Cup for Youth titles including four in a row, with the last coming in December 2018.

HM’s Cup for Youth is the symbol of club supremacy in the sultanate and Seeb is known for its all-round excellence in various sports, with 11 sporting activities practised and promoted by the club.

As the club has strove to focus on different sports rather than just football, it has seen it bring laurels in other sports. Meanwhile, the Grand Bazar is expected to pave way to more (recreational and sports) activities in the sultanate.

“This is the largest mall coming up on a club premises and it is a pioneering initiative. I hope other clubs can take cue from this project and move towards such innovative plans to enhance their financial situation. We are proud that the investors displayed trust in us. We thank JINFA for investing in the project.” Sayyid Shihab noted.

The mall is expected to offer nearly 300 outlets for apparels, toys, household goods, ample parking space and restaurants. The mall will also have accommodation for foreign players of the club and would also rent out office spaces for its other corporate ventures.

ALSO READ: [GUIDE] Top Destinations to Visit in Oman

Oman Extends Hiring Ban on 4 Professions

As the government’s nationalisation programme pushes full steam ahead, measures that curb or discourage the entry and hiring of expats are to be expected. For the longest time and up to this day, the Sultanate has greatly benefited from the contributions of foreign workers across a number industries and businesses, as well as to its general economic performance.

However, as with the rest of the countries in the Gulf region, dependence of foreign labour proves to be unsustainable and detrimental to the countries’ social systems, which also ultimately affects the citizens of the state. It is for this reason that nationalisation programmes have been introduced in several countries in the Middle East, including Kuwait, Saudi Arabia, and Oman.

No Hiring of These Professions in Oman for the Next 6 Months

In this regard, His Excellence Sheikh Abdullah bin Nasser bin Abdullah al Bakri, Minister of Manpower has issued a decision (No 322/2019) to extend the temporary ban on hiring of expatriates in four professions, as shared in a report by the Muscat Daily.

As such, the Ministry of Manpower (MoM) placed a hiring ban on visas for expatriate carpenters, metallurgy workers, blacksmiths and brick kiln workers for another six months. The decision was put into effect on July 3, and is expected to take effect until early next year.

The Ministerial Decision No 322/2019 was issued on June 25. The ministry had first issued the temporary ban in 2014 (Decision No 122/2014) noting that the hiring ban will apply only to new visas. The decision curbs the hiring of expatriate manpower in private sector firms, to allow more nationals to join the workforce.

However, companies registered as excellent or are of international grade, consultancies and those implementing government projects will not be affected by the measure. It will also not apply to firms that are managed by their owners and registered with Riyada and insured with the Public Authority for Social Insurance.

As of last year, wide demonstrations have been observed in the country due to the high unemployment rate among Omani nationals. In response to this, the Ministry of Manpower has issued three decisions
(487, 488, 489 /2018) that regulate recruitment of expatriate professions.

And as part of the national government’s efforts to address the high unemployment in the Sultanate, government officials announced in December last year that it would begin efforts to create 25,000 new jobs in an effort to reduce high unemployment.

A huge part of the new jobs (60%) are said to come from the public sector, while private sector companies would be provided with incentives to hire nationals instead of expatriates.

ALSO READ: Oman to Introduce Expat Visa Ban for Senior Management Roles

Manpower Ministry to Rectify Work Status of Over 16,000 Expats in Oman

As the sultanate focuses on including more citizens in the workforce at the expense of foreign nationals, the government is continuously improving its system to create an environment that would limit the number of expat workers to the minimum in industries that have a dire need for their services only.

However, for this to happen, several steps from the national government must be coordinated with various ministries and stakeholders (companies and employers) involved.

Status of Over 16K Expats in Oman to be Reviewed by Ministry

As such, the Ministry of Manpower has recently called on 67 employers owning 1,479 establishments with 8,228 expatriate workers to correct their job status as part of the move to regulate the job market, as shared in a report by the Muscat Daily.

According to the ministry, around 22 employers running 1,100 firms and employing 2,599 expatriates have spoken to its officials to solve the job status of the employees concerned.

The MoM, however, also noted that it has not been able to reach 23 employers owning 862 firms with 5,175 expatriate workers.

Nevertheless, the ministry shared that it will continue to regulate the job market in accordance with the Omani Labour Law through visits to private sector establishments.

In line with this, the MoM said, “We urge all employers to ensure that they comply with the applicable procedures of the labour law. We will take legal action against those found violating the law. We appeal to all institutions to cooperate in this matter.”

The job status of foreign workers in Oman is mainly tied to the issuance of an NOC – wherein if an expat wants to change jobs in Oman they need a release letter from their employer stating that they allowed an expat to seek employment with another company in the Sultanate. It’s important to stay on the good side of one’s employer as a person is generally not allowed to live in Oman if they are not employed. Expat workers must have sponsorship, and that sponsorship ends when employment does. Expats will be required to obtain an alternative visa immediately or they will be staying in the country illegally.

This being the case, the government has also set certain provisions in the law that would protect the rights of foreign workers against being tagged as absconding despite receiving their NOC from their latest employer.

Based on the law, an absconding report cannot be submitted “if the employer has given the worker a letter of no objection to the transfer of the worker’s services to another employer, and then reports the worker absconding before the end of the period granted to him/her, which is 30 days to transfer his/her services to another employer”, and in the case of a dispute between the employer and the employee arising before filing the absconding report.

In the case of companies/employers that fail to comply with the provisions of the labour law or its regulations, they will be suspended from receiving any services from the ministry for a year.

ALSO READ: Oman to Introduce Expat Visa Ban for Senior Management Roles

How to Get NOC in Oman

Working in Oman offers great benefits and opportunities, especially for workers who intend to build their career because of the Sultanate’s relatively small size, meaning, there is plenty of work to go around for people who can build a decent work history within their respective fields.

However, as the Sultanate currently limits its acquisition of foreign talents in favour of nationals through its Omanization programme, it pays to note some of the requirements which expats should undergo or take advantage of to remain working in the country despite the restrictions set in place.

[Guide] Getting a No Objection Certificate (NOC) in Oman

In line with this, foreign nationals should be aware of the no-objection (NOC) certificate, which they will need in order to be allowed to continue working in the Sultanate.

An NOC is a document issued by the current employer to their employees in order to allow them to switch to another employer, and therefore continue their work in the country. However, the NOC lets the companies have strong power over their employees.

Since the law has been passed in 2014, it has immediately had an acute effect on the expats already working in the Sultanate of Oman.

For one, the system sets up a power imbalance between the employer and the foreign employee. Many argue that the NOC may not even apply to blue-collared workers, who cannot approach the company’s management regarding the NOC, which is a common set-up in Omani companies.

However, as the law has already been set, please be guided by these steps to get an NOC from your employer:

First and foremost, make sure that your two-year contract has been completed. Otherwise, the company may refuse to give an NOC in Oman ( e.g. in the middle of the contract, getting an NOC is based on the company’s discretion).
Approach the Public Relationship Officer or Human Resource Officer of your company to resign from your post. Follow the procedures stated.
Serve your notice period.
Comply with the requirements needed of you prior to your release from the company.
Once you have settled all the requirements, collect the NOC from the company.

In the event that you are not issued an NOC, you can either return to your own country or continue working for the same company. Do note that the issuance of an NOC is at the discretion of the company, and this decision cannot be influenced or affected by any person/entity outside of the company.

Also, it’s important to understand that you will not be allowed to extend your visa after leaving the country without an NOC. This means that you will be banned to return to Oman for work for two years.

The purpose of the NOC in Oman is to ensure that foreign workers establish a long-time relationship with their employers, as the economy of Oman is affected by the short stay of workers.

Since NOCs can be denied by a company if you are making a loss to the company, you need to become competent in the position you are given, as opportunities for work among expats are being restricted to benefit nationals. And to avoid the ban on your visa, your performance and contributions should be enough to convince the company to give you an NOC.

ALSO READ: Govt Introduces Service Tagging ‘Omanised’ Professions

Gov’t Sets New Fees to Apply for Omani Citizenship

Working in a foreign country may cause one to think of getting naturalised in order to maintain their way of living, which they’ve built in their host country. Working in a country such as Oman has plenty of benefits not only for citizens, but also for foreign nationals. However, with the recent changes in the region’s economic performance, foreign employment is being reduced in favour of nationals, who are also seeking to join the workforce.

Of course, the process varies from one country to another – and unfortunately, certain eligibility requirements are imposed to limit those who want to apply for citizenship, as in the case of Oman.

Gov’t Sets Application Fee for Omani Citizenship at RO 600

However, for those who are deemed eligible to apply for citizenship in Oman, the government has issued a decision (No 92/2019) on the executive regulations of the Omani Citizenship Law, which elaborates on the fees required for regaining, renouncing, and applying for citizenship, as shared in a report by the Muscat Daily.

As per the new decision issued by His Excellency Sayyid Hamoud bin Faisal al Busaidi, Minister of Interior, an RO 200 fee has to be paid to apply for regaining or renouncing Omani citizenship and RO 600 to apply for the citizenship.

Furthermore, an RO 300 has to be paid to apply for citizenship for an expatriate wife of an Omani, widowed or divorced.

When applying for citizenship, as in the case of a minor son of an Omani woman, the applicant must pay RO 300, based on a decision issued on June 2.

The update, though, is not for all, since obtaining citizenship in Oman is limited to children of nationals who emigrated before 1970.

These people, who are the only known foreign applicants of Omani citizenship, who seek for this benefit on a relatively consistent basis, may return to Oman and apply for citizenship through the Ministry of the Interior, but they are by no means guaranteed success. It is for this reason that the government´s citizenship policy has been viewed as extremely controversial.

In most cases, the government will grant only half a returning family citizenship. In others, it will not even grant some members of these families residence or work permits.

Meanwhile, for those who have no Omani heritage, their only chance at citizenship will be through marriage to an Omani national, and even then their application will probably be denied.

It is more common, however, for generous employers to reward loyal workers by providing them with work and residence permits of indefinite duration. Even still, there is a good chance this support will end when those workers retire.

Therefore, the outside chance of acquiring citizenship in Oman may be more trouble than the actual benefit this may offer, especially for those who do not have a direct relation to the country, and are only trying their chances at migration.

Nevertheless, Oman is still one of those countries, which, when given a good chance, people would enjoy living in, as the sultanate boasts of rich cultural heritage and history, as seen in the many beautiful places travellers get to enjoy even on short visits.

Govt Introduces Service Tagging ‘Omanised’ Professions

With Oman’s nationalisation programme already in effect, more opportunities are being presented to citizens, and the opposite for expats in the country, as well as for those planning to find a job in the sultanate. Though this may seem like a disadvantage for some (mainly expats), this decision has taken into account the country’s overall affairs, as well as future performance.

However, as the general direction of the country’s labour force is steadily headed towards its targeted end-point, there are still areas in which the government can assist not only citizens, but also businesses as well as investors in adapting to this transition.

Programme Launched to Inform Public on ‘Omanised’ Professions

In line with this, the Ministry of Manpower (MoM) has launched a service through which citizens can enquire about Omanised professions in the sultanate, as shared in a report by Muscat Daily.

The service is part of the initial stage to introduce the new system of issuance of work licences.

Moreover, this service will enable employers and investors to know about the activities and professions that ban recruitment of expatriates. It will also help citizens check if a business is legal.

According to Asila bint Mohammed al Kalbany, director general of Information Technology at MoM, “This service will provide employers with the opportunity to learn about the details of ban on activities and professions imposed by the ministry. It will also help employers or investors avoid any losses that they could incur from setting up a prohibited activity or a business.”

Through this initiative, the government hopes to further encourage citizens to take part in the workforce, and ensure that they are well designated to do so. For the expats and investors, knowing which professions are only intended for Omanised professionals will enable them to decide which sector they can bring their talents to, or if there are better opportunities elsewhere that suit their career profile.

The Manpower Ministry has also taken part in the Government Performance Accelerators programme currently being undertaken by the Ministry of Civil Service.

As the sultanate is looking to make a shift from the traditional oil-based industry, for which all of the Middle Eastern countries have benefited from for a long time, labour and manpower allocation, as well as tax introductions will prove to be integral to sustaining Oman’s economic and social ventures in the long term.

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