Oman airport cities set to draw $800 million in investments by 2030

Oman unveils major aerotropolis developments in Muscat, Suhar, and Salalah aimed at transforming its airports into regional economic hubs.

Muscat International Airport, Oman
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Women's Tabloid News Desk

Oman’s plans to develop three major Airport Cities, located in Muscat, Suhar, and Salalah, are expected to generate more than $800 million in investments by 2030, aligning with the country’s strategy to transform its airports into key drivers of economic growth and urban development.

According to Salim al Harrasi, Head of Airport Projects at the Civil Aviation Authority (CAA), a comprehensive roadmap for the establishment of these “aerotropolises” has been finalised. Muscat Airport City is already progressing, while similar developments at Salalah and Suhar airports are gaining momentum and are likely to attract substantial investment.

“Today, direct investments in Muscat Airport City have surpassed $80 million, with projections to exceed $500 million by 2030 and a total of more than $800 million across the three Airport Cities (Muscat, Salalah and Suhar) by 2030,” Al Harrasi said in a recent post.

He added: “My sincere thanks to our strategic partners who have supported these initiatives and special appreciation to the Oman Airports Infrastructure Projects Team and our consultants Dar Al Handasah, SSH, F&M Parsons International, ECG (Engineering Consultants Group), NACO (Netherlands Airports Consultants) and Maysan for their dedication and commitment in delivering the master plan for Oman’s Airport Cities from 2018 to 2025.”

The aerotropolis concept is central to Oman’s wider vision of positioning its airports as economic hubs that drive regional growth. The aim is to turn these gateways into integrated commercial ecosystems that attract industries in logistics, trade, technology, and services, while generating significant non-aeronautical revenue streams.

Muscat Airport City, the largest of the three developments, will feature a wide range of mixed-use zones. These include a logistics portal of approximately 200,000 m² for air freight and related services, a 1.1 million m² business district for airline headquarters and aviation-linked offices, an aviation zone covering around 166,000 m² with terminal and former cargo facilities, and a 192,000 m² hospitality zone featuring hotels, duty-free stores, and travel-related amenities.

In July, Oman Airports signed a memorandum of understanding (MoU) with Malaysian developer WCT International Sdn Bhd to identify and pursue investment opportunities around Muscat International Airport.

Progress is also being made at the Muscat Airport Free Zone (MAFZ), which is managed by Asyad Group, Oman’s leading integrated logistics provider, under a concession agreement signed with the Public Authority for Special Economic Zones and Free Zones (OPAZ) last year. The free zone aims to attract foreign direct investment in logistics, air freight, and general trade sectors.

Meanwhile, in June, Oman Airports revealed a detailed master plan for Salalah Airport City. The initiative seeks to leverage Dhofar’s geographic advantages and growing air connectivity to attract investment across logistics, tourism, and agri-business sectors. The plan outlines land-use designations, infrastructure standards, and opportunities for public-private partnerships to encourage large-scale development.

Additionally, a pilot project is being planned to enable direct air-sea cargo transfers between the Port of Salalah and Salalah Airport. The move aims to improve cargo efficiency and further strengthen Oman’s role as a regional logistics and trade hub.

With these ambitious developments underway, Oman’s airport cities are set to redefine the role of the nation’s air gateways — transforming them into vibrant centres of commerce and innovation by the end of the decade.

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