Oman
In 1970, QABOOS bin Said Al Said ousted his father and has ruled as sultan ever since. His extensive modernization program has opened the country to the outside world and has preserved a long-standing political and military relationship with Britain. Oman's moderate, independent foreign policy has sought to maintain good relations with all Middle Eastern countries.
There are currently no known threats against visitors or expatriate residencs in Oman.
While a German tourist was found shot to death in Muscat in early December 2003. Police determined in 2004 that the murder was a related to a personal dispute. As of January 2006, there have been no acts of violence of note involving Westerners that we are aware of.
Sultan Qaboos Bin-Said Al Said seized power in a coup against his father, Said Bin-Taymur, in 1970. As sultan, he took on the role of prime minister and heads the foreign, defense and finance ministries. His policies have proved popular in spite of the lack of a democratic government. He instigated the use of oil revenues to develop the country's infrastructure and has gradually introduced modernization of the government structure with the establishment of a Consultative Assembly in 1981, replaced by the Consultative Council (majlis al-shura) in 1990 and the Council of State in 1997. However, all important decisions are still made by the sultan himself.
Oman continues to be heavily dependent on oil revenues, which account for around 75% of the country's export earnings and almost 40% of its gross domestic product (GDP). Prompted by the maturation of its oil fields and the volatility of oil prices, the Omani government has made diversifying the country's economy a top policy priority. In the 1980s, this effort hinged on developing a domestic manufacturing base, but more recent initiatives have focused on the exploitation of Oman's other natural resources, particularly its natural gas reserves. Oman has large mineral and metal deposits, including silica, dolomite, copper, and gold. In September 2003, the government announced that it was reviving a five-year-old plan to build a $2.5 billion aluminum smelter, which is to begin operation in 2007.
Oman 's efforts to diversify the economy also include "Omanization", a program designed to increase the percentage of Omani citizens working in the private sector. At present, Omani nationals constitute only 10% of private sector employment. The government also has continued to attempt to attract foreign investment, particularly in light industry, tourism, and electric power generation. Foreign investment incentives include a 5-year tax holiday for companies in certain industries, an income tax reduction for publicly held companies with at least 51% Omani ownership, and soft loans to finance new and existing projects. The process of privatizing some state-owned industries is to be accelerated under a decree issues in July 2004, which will allow foreign ownership up to 100% in power generation and water.
Omani employers often ask that expatriate employees deposit their passports with the company as a condition of employment. Although customary, this practice is not required by Omani law (unlike Saudi Arabian law). Expatriate personnel should exercise caution in agreeing to employer confiscation of passports, since this operates as a restraint on travel and could give undue leverage to the in a dispute.
