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Key tourism projects that form part of Oman Tourism Strategy 2040 have suffered a setback in 2020 while some moved ahead due to the reasons ranging from feasibility to governmental changes, the Economic Diversification Report 2020 has revealed.
The report is an annual publication prepared by Oman Vision 2040 Implementation and Follow-up Unit on various projects undertaken under the 2040 programme.
Work on three projects at the $660 million (256 million Omani rials) Al Nakheel ITC [Integrated Tourist Complex], namely Crystal Lagoon and infrastructure for Phase 1(a), design work on Model Villas and design development for Apartment Site 3 have been put on hold as the project owners are revising their plans for a more feasible and effective approach.
Two heritage projects, Harat A Sibani and Harat Al Bilad, have stalled with Harat Al Sibani facing budget challenges while investors pulled out from Harat Al Bilad as they prioritised other more economically viable projects. The team is revising its approach to invite potential investors again, the report said.
A study to resolve infrastructure and non-infrastructure issues faced by ITC projects and develop incentives was put on hold due to changes in the government structure.
Setting up Oman Tourism and Convention Bureau to promote Oman as an attractive business partner for investors and developers has also been delayed due to financial issues, said the report.
Tourism clusters
The Omani Tourism Strategy has identified 14 tourism clusters out of which planning for five are currently underway.
The report said plans for three tourism clusters in Muscat, Ad Dakhliya, and Ash Sharqiya South, were finalised in 2020.
The Ministry of Heritage and Tourism (MoHT) is finalising the remaining stages of the Musandam cluster plan with ASAAS (developer) and the scope of work for the developing the Ash Sharqiya Sands has been increased.
Projects that moved ahead
Among the ITC projects that went ahead were the design work for the 170-room Marina hotel, a flagship component of Phase 1A of the 1.5 million square metre (sm) Yiti Sustainable City and the detailed designs for the public park and resort at Shatti Bassa, a 73,000 sqm development.
The masterplan for the Al Ashkarah Beach development is being finalised by the investor Falcon for Tourism Investment and a contract has been signed with Falha Investment for developing the Al Kasfah Spring.
(Writing by Sowmya Sundar; Editing by Anoop Menon)
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© ZAWYA 2021
