AGP Executive Report

Middle East Shipping Shock: The US says it struck and destroyed three Iranian oil tankers after Iran’s IRGC launched ballistic missiles at US Navy warships near the Strait of Hormuz, with CENTCOM warning it could “destroy” Iran’s oil fleet if attacks continue. Maritime Disruption Watch: UKMTO reported several merchant vessels faced “disabling fire” in the northern Arabian Gulf and Gulf of Oman, while Iran condemned the US action as a “war crime” and vowed consequences. Oil Market Pressure: The tanker attacks and wider escalation are feeding supply-risk fears, pushing crude prices toward the $100 mark and raising costs for regional trade routes. Oman Business Angle: Oman’s Al Mazunah Free Zone reported RO141m ($366m) in cumulative investment after localising four projects in H1, and Oman’s Al Mazunah Economic Exhibition and Forum is set for Oct 20-22 to deepen Oman–Yemen trade links. Sports & Infrastructure: ICC chairman Jay Shah backed upgrades to Oman Cricket’s permanent facilities to help the country host major international fixtures.

Green Hydrogen & Logistics: OQ Alternative Energy and Asyad Group signed an MoU to buy green hydrogen and study how it can be used in Oman’s transport and logistics, moving the hydrogen push from planning to practical deployment. Hydrogen Ecosystem: Oman joined the International Partnership for Hydrogen and Fuel Cells in the Economy (IPHE) to align standards and accelerate adoption across transport, industry and power. Investment & Real Estate Promotion: Oman will take “Live Oman” to London starting Sept 21, pitching urban development projects and free-zone opportunities to UK investors via targeted meetings. Free Zone Growth: Al Mazunah Free Zone localised four projects worth over OMR620,000 in H1 2026, taking cumulative investment above OMR141m and leased area beyond 1.4m sqm. Corporate Performance: Raysut Cement reported H1 2026 net profit after tax of OMR2.71m, reversing losses from the same period last year. Markets: MSX market capitalisation rose to OMR38.9bn, up about OMR600m on stronger trading and sentiment. Tourism Push: Musandam is positioning itself as a sustainable tourism and investment hub, banking on infrastructure and service upgrades. Regional Shipping Risk: UKMTO said Hormuz traffic is down sharply, with the southern Omani route the highest-risk corridor amid projectile incidents. Diplomacy & Trade: Oman rejected Iran’s proposal to impose Strait of Hormuz service fees, citing concerns over confrontation and the need for US approval. Health Milestone: Oman carried out its fourth heart transplant, saving four lives from one brain-dead donor.

Green Mobility & Smart Cities: Hyundai Motor Group signed MOUs with Oman’s Ministry of Transport, Communications and Information Technology to support Oman Vision 2040, including a pilot hydrogen-powered city bus in Muscat via Mwasalat and ultra-fast EV charging plans with EVO. Rail Connectivity: His Majesty Sultan Haitham ratified the $2.5bn Oman-UAE Hafeet Rail agreement, linking Sohar to the UAE network and targeting faster passenger and freight movement. Energy Prices: Oil benchmarks edged higher on Hormuz security risks, with Brent set for weekly gains toward $95 as diesel tightness and supply fears return. Regional Trade Talks: EU-GCC leaders will meet in Saudi Arabia on Oct. 24 for the second summit, aiming to deepen economic and political cooperation. Labour Enforcement: Saudi Arabia, Oman and Bahrain deported over 336,000 foreign workers in 2026 amid crackdown actions, highlighting tightening Gulf labour controls. Venture & AI: Muscat-based Phaze Ventures expanded its global AI footprint as portfolio firms attracted new funding and strategic partnerships. Hospitality Sector: HORECA Oman returns for its fifth edition, bringing 150+ exhibitors and 8,000+ visitors to support the local hospitality ecosystem.

Strait of Hormuz Shipping Risk: Two Filipino seafarers were killed after a Saudi-flagged crude tanker was hit by unidentified projectiles near the Strait of Hormuz; the Philippines’ migrant workers agency says the rest of the crew was unharmed and repatriation support is under way, while the route remains on red alert for maritime labour. Oman’s Green Mobility Push: Hyundai Motor Group signed MOUs with Oman’s transport ministry and Oman Oil Marketing Co to introduce the country’s first hydrogen-powered city bus and expand EV charging infrastructure, aligning with Oman Vision 2040. Energy & Trade Pressure: US VP JD Vance rejected calling the Iran conflict a “war,” but said Washington will only resume talks if Iran stops targeting commercial shipping—amid reports of continued disruptions and rising fuel costs. Regional Policy & Compliance: A FATF/OECD report highlights digital hawala networks using fintech and stablecoins, including a case traced to Oman involving WhatsApp-based remittances. Marine Insurance Impact: Lloyd’s of London expanded high-risk marine zones to include parts of Oman after the Iran war raised premiums and forced war-risk cover measures.

Oman Renewable Push: Oman Power and Water Procurement (PWP) invited bids for legal consultancy on three “Solar 2030” solar IPPs totaling 3GW, targeting commercial operations in Q2 2030, with bid documents available until Sept 10 and submissions due Oct 18. Port & Logistics Expansion: Duqm Port received a BYD Ro-Ro vessel from China carrying 1,219 vehicles for GCC markets, underscoring Duqm’s growing vehicle-handling capacity of about 300,000 vehicles a year and its role as a gateway outside the Strait of Hormuz. Transport Cooperation: Oman’s Public Works Minister discussed transport and logistics collaboration with Kuwait, focusing on Duqm Port capabilities and logistics integration. Regional Trade Ties: Qatar’s commerce minister met Oman counterparts to strengthen bilateral trade, investment and private-sector cooperation. Gulf E-commerce Delivery Regulation: The Gulf Green Mobility Forum, via Oman’s “Wasal” programme in Salalah, reviewed express delivery regulation, digital transformation and a gradual shift toward electric bicycles. Food Security Agenda: Oman joined GCC talks in Bahrain on strategic storage zones for food and essentials, plus updates to pesticide, fertilizer and organic products rules. Maritime Risk Watch: Reports highlighted attacks near Oman-linked shipping routes amid US-Iran tensions, keeping energy and trade uncertainty in focus.

Oman–Qatar Economic Ties: Oman Investment Authority chief Abdulsalam bin Mohammed Al Murshidi met Qatar’s commerce minister Sheikh Faisal bin Thani Al Thani in Muscat to review joint cooperation and investment opportunities, with logistics and land/maritime transport highlighted. Hormuz Trade Shock: Renewed US-Iran tensions have roiled the Strait of Hormuz, with shipping transits falling sharply and Dubai’s Jebel Ali facing severe strain as volumes drop by more than 90% in early weeks of the conflict. Oman–Iran Shipping Talks: Iran and Oman resumed discussions on managing vessel traffic via a joint temporary navigational corridor and mine clearance, but analysts say oil-flow normalisation likely depends on US sanctions and blockade easing. Oman Energy/Finance Signals: Moody’s upgraded Omantel’s outlook to positive while affirming its Ba1 ratings, and Oman’s tendering for 3GW solar IPPs points to continued power-sector buildout. Port of Duqm Growth: A BYD Ro-Ro carrier (about 9,200 vehicles) arrived at Port of Duqm, underscoring the port’s expanding capacity for large-scale vehicle shipments into Oman and the GCC.

Hormuz Security & Shipping: The US says it escorted 40 commercial ships carrying about 18 million barrels through the Strait of Hormuz as attacks between the US and Iran resumed, while Iran’s Strait authority updated its non-compliant vessel list and warned of fines, detention or confiscation. Maritime Casualties: Saudi Arabia condemned an Iranian attack on Bahri’s supertanker Sidr, saying two Filipino sailors were killed; Iran disputed the cause, while another incident reported two Filipino seafarers dead after a projectile hit the vessel SIDR near the strait. Energy Prices & Trade Flow: Oil flows through Hormuz improved, with US officials citing the highest volumes since the war began, but analysts warn relief at the pump may be limited; diesel and fuel-price pressures are rising globally as shipping disruption risk lingers. Oman Business Angle: Oman is also in the spotlight for regional logistics—US operations have used an Oman shipping corridor—and Oman-KSA economic coordination continued in Salalah, with both sides pushing industrial and trade integration. Regional Diplomacy: Egypt and Oman discussed joint industrial zones to strengthen supply chains, while Iraq reported August oil exports up about 73% as alternative shipping arrangements helped offset Hormuz disruptions. Politics Meets Markets: Trump floated renaming the strait “Trump Strait,” a move that underscores how the conflict is spilling into branding and uncertainty for global trade.

Oman–Research & Innovation: Oman, via the Research and Innovation Authority, chaired the semi-annual board meeting of the Federation of Arab Scientific Research Councils, reviewing research awards, expanded Arab research networks and over $1m in funding for scientific programmes. Gulf Shipping & Energy: Fresh US-Iran strikes and Iranian retaliation have reignited Hormuz risks, with oil holding near recent highs and shipping traffic reported sharply reduced as tankers face projectile incidents and mine fears. Diplomacy for a corridor: Qatar said it is intensifying talks with mediation partners including Oman and Pakistan to reopen the Strait of Hormuz, warning the region can’t accept the status quo. Oman Logistics (cold chain): Gulf Warehousing Company (GWC) completed frozen bulk vessel operations in Oman to extend cold chain and cross-border distribution into Qatar, adding road shipments across GCC. SME Support: BankDhofar hosted an SME Growth Forum in Salalah to connect entrepreneurs with banking and financing solutions aligned with Oman Vision 2040. Muscat Address System: Muscat Governorate’s unified national addressing project moved into sign manufacturing and installation after street naming and address verification surpassed 80% in pilot areas. Banking Tech: MEBIS 2026 in Dubai (Sept 16–17) is set to spotlight AI-driven banking transformation and innovation.

Hormuz Mediation & Regional Security: Qatar’s PM adviser Dr Majed al-Ansari said Doha is working with Oman and Pakistan to bring parties back to talks and avoid treating Strait of Hormuz closure as a fait accompli, warning the fallout is global and hits sectors like energy and pharmaceuticals. Oman-Saudi High-Level Coordination: Oman’s Sultan Haitham met Saudi Crown Prince Mohammed bin Salman in Jeddah to discuss regional developments, security and ways to expand cooperation as US-Iran tensions keep shipping and energy risks elevated. Shipping Risk and Oil Prices: Two Saudi-linked supertankers were attacked in the Strait of Hormuz near Oman, with US strikes on IRGC-linked targets following attempted mine-laying claims—pushing oil higher and keeping maritime traffic tightly constrained. Oman Addressing Rollout: Muscat Governorate has started field implementation of Oman’s National Addressing Project, with over 80% of street naming and verification completed in pilot areas and signboards to be installed. GCC Business Tech: ClearTax and Odoo partnered to embed e-invoicing and tax compliance into Odoo for UAE and Oman users, as GCC digitises tax administration. Finance & Compliance: ABHI’s Early Wage Access product received Shariah approval from a KSA-based Shariah committee, supporting wage access before payday.

Strait of Hormuz Risk: Two Saudi-linked supertankers carrying crude were hit by unknown projectiles in quick succession while transiting outbound near Oman, with UKMTO also reporting a separate tanker struck by three rounds east of Khasab; the attacks add to supply fears as Brent pushes higher. Oil & Markets: Oil prices climbed again as renewed US-Iran strikes revived disruption worries, while global bond yields and borrowing costs stayed under pressure. Oman Energy Data: Oman’s natural gas production rose 6.4% by end-July 2026 to 34.97bn cubic metres, with higher associated and non-associated output. Halal Tourism Push: A specialised “Halal Tourism” workshop launched in Salalah to back standards and certification for hotels, restaurants and related services. Oman Finance & Policy: The Central Bank of Oman issued treasury bills worth OMR 26.9 million, while Oman also discussed using AI in auditing operations. Regional Ties: Oman and Kazakhstan held bilateral consultations in Astana to review trade and investment cooperation.

Hormuz Flashpoint: The US and Iran traded direct attacks again after a monthlong lull, with Washington striking Iranian rocket launchers on Larak Island and Iran retaliating with missiles and drones targeting US bases in Jordan and the UAE; Trump warned “we’re going to hit them hard,” while oil jumped back above $90 and shipping risk fears returned. Maritime Disruptions Near Oman: UKMTO reported a tanker hit by three projectiles while sailing out of the Strait of Hormuz near Oman’s Khasab, and separately flagged an “incident” involving a tanker and military forces in the Indian Ocean; Iran also claimed a supertanker struck mines in the southern route, while CENTCOM disputed mine claims. Oman Business & Energy Watch: Oman’s LPG market remains in focus as NGC renewed calls for a regulated price review amid rising costs, while OGRA set September LPG prices in Pakistan (context for regional energy pricing pressures). Corporate Moves: Al Jazeera Steel Products completed two US subsidiaries for direct market presence, and Oman’s aviation ties grew as Saudi Airlines won approval for three weekly Muscat–Riyadh flights from Oct 27. Tech Investment: THine Electronics announced new VCSEL drivers and TIAs for ultra-low-latency AI datacenter networks, targeting PCIe 6/7 scale-up demand.

Central Banking: Oman’s central bank raised OMR26.9mn via treasury bills, issuing 91-day (OMR20.4mn), 182-day (OMR5.5mn) and 364-day (OMR1mn) paper with yields around 3.84%–3.96%, supporting bank liquidity. Hormuz Risk & Oil Markets: US and Iran resumed strikes after a month-long lull, with Washington hitting rocket launchers on Larak Island and Iran retaliating against US-linked bases in Jordan and claiming drone action in the UAE; the flare-up pushed Brent back above $90 and lifted diesel crack spreads toward $100. Maritime Disruption: Shipping through the Strait of Hormuz remains heavily constrained, with reports of tanker incidents near Oman/Khasab and renewed mine threats keeping transit cautious. Oman Business & Energy Support: Riyada signed an MoC with Nama Electricity to back SMEs via “Riyada Plus,” offering flexible payments and support to manage electricity arrears and reduce disconnections. Social Investment: Oman Chamber of Commerce and Industry’s Social Investment Forum urged a national framework for social investment, stronger partnerships, impact indicators, and financing tools for social enterprises. Regional Diplomacy: Gulf states told Washington US Iran sanctions are “unrealistic,” while Oman and Iran talks on a provisional Hormuz corridor continue amid US conditions. GCC Business Recognition: Oman won 11 awards at the GCC Smart Investor Award, highlighting growing participation across writing, photography, drawing and video.

Strait of Hormuz Security: The US struck two Iranian rocket launchers on Larak Island after IRGC forces were seen preparing sea-mine rockets, while Iran vowed retaliation and a tanker was also reported hit by an unknown projectile near Oman’s Khasab (UKMTO). Oman Banking Watch: Oman’s banks extended more loans than deposits, with the loan-to-deposit ratio at 102.9% at end-June, as private deposits rose 12.45% to over OMR19bn. Inflation Snapshot: GCC inflation stayed subdued in June-July despite oil price swings, but Oman’s inflation rose 3.2% year-on-year in July, led by food and transport. Oman Health Policy: Oman added “death cases for Omanis” to medical fee exemptions, bringing total exempt groups to 18. Regional Fintech: BENEFIT expanded GCC credit bureau connectivity by integrating Oman’s “Mala’a” with Bahrain’s BCRB, boosting cross-border corporate credit checks. Energy & Markets: UBS flagged commodities beyond oil—industrial metals, agriculture and gold—as both return drivers and inflation hedges amid Hormuz uncertainty.

Oman Power & Water: Oman’s total electricity generation rose 4.5% to 31,732.5GWh by end-July 2026, with Muscat up 197.4% and net electricity production up 4.9% to 30,866.7GWh, while water production fell 3.2% to 287.48m cubic metres. Used Car Parts Rules: Oman’s Consumer Protection Authority bans trade in 21 categories of used vehicle spare parts and tightens warranties and disclosure for workshops and traders. Cybersecurity Push: Oman rolled out its 2026-2030 national cybersecurity strategy, targeting critical infrastructure protection, cyber resilience, skills building, cooperation and a stronger cyber economy. Integrity in Industry: Madayn launched a two-day awareness forum on institutional integrity with a focus on protecting public funds and avoiding conflicts of interest. Hormuz Shockwaves: Iran says the Strait of Hormuz stays closed and any passage needs Tehran coordination, linking reopening to US commitments; traffic has collapsed to fewer than 20 crossings at peak tension, with some reports citing a near 95% drop. Regional Inflation Watch: GCC inflation stayed subdued in July despite the US-Iran conflict, with Kamco warning hostilities could reignite global inflation pressures. Tourism & Local Economy: Oman’s Al Jabal Al Akhdar Festival 2026 drew 300,000 visitors, while Muscat Theatre Festival registration opened for its inaugural December edition.

Hormuz Talks & Sanctions: Iran says its understanding with Oman on a temporary Strait of Hormuz transit corridor won’t enter implementation until the US fulfills commitments under an Islamabad MoU, while the White House insists the US controls the strait after mine-clearing and protection of commercial traffic. Oman Energy & Renewables: Oman’s Duqm City Renewable Energy push is advancing two wind projects at SEZAD (58MW total) toward construction-ready tender stages, and a Salalah Engineering Forum (Sept 1-2) will focus on engineering solutions for the clean energy transition. Macroeconomy & Finance: Oman’s real GDP grew 2.6% in Q1 2026, led by faster petroleum activity, while private deposits at Oman’s banks rose 12.45% to over OMR19bn and MSX-listed public firms’ net profits jumped about 26% to ~OMR1.2bn in H1. Markets: The MSX 30 index closed the week at 7,532 as the financial sector index hit a 18-year high, supported by bank stocks. Business & Investment: Oman unveiled five Dhofar investment opportunities worth about OMR1.95bn via its “Invest in Oman” platform, and Nizwa Industrial City localised 20 projects worth over OMR12mn. Regulation & Risk: Oman is tightening HSE standards across oil and gas and rolling out a national cyber security strategy (2026–2030), including offences covering electronic payment means. Logistics: Gulf Warehousing Company completed its first frozen bulk vessel operation in Oman, extending cold-chain capabilities across the GCC. Halal Tourism: Oman will host a Salalah workshop on halal tourism to help businesses align with international standards and certification requirements. Disaster Watch: Nepal’s flash floods death toll climbed to 675 with nearly 2,400 still missing as renewed rain complicates rescue efforts.

Banking & Savings: Oman’s private deposits at commercial banks jumped 12.45% to over OMR19.36bn by end-June 2026, with term, savings and demand deposits all rising, according to the Central Bank of Oman. Markets: The Muscat Stock Exchange edged up for the week as the MSX 30 closed at 7,532 points (+0.13%), while the financial sector index gained 1.02% on strength in major banks. Corporate Earnings: MSX-listed public shareholding companies lifted net profits 26% to about OMR1.2bn in H1 2026, supported by cost control, efficiency gains and improved activity. Industrial Development: Nizwa Industrial City localised 20 projects worth over OMR12mn in the first half of 2026, with cumulative investments topping OMR560mn and thousands employed. Oman–Saudi Trade Push: Oman and Saudi Arabia will meet in Salalah next Wednesday to review progress on joint economic initiatives and speed up trade, investment and industrial integration. Dhofar Investment Pipeline: Oman unveiled five investment opportunities in Dhofar via “Invest in Oman” worth about OMR1.95bn, led by Future Salalah City (about OMR1.9bn). Oil & Gas Safety: Oman’s energy ministry is strengthening health, safety and environmental standards across the oil and gas sector, reporting lower lost-time and serious traffic accidents in 2025. Cybersecurity: Oman launched a National Cyber Security Strategy 2026–2030 to boost cyber resilience, governance and capacity building. Shipping & Energy Risk: Strait of Hormuz tanker traffic rose more than 30% week-on-week, but remains far below pre-war levels as Iran and Oman discuss a temporary corridor while global crude prices stay sensitive to Hormuz headlines.