The Public Authority for Projects, Tenders, and Local Content organized today, Monday, an extensive dialogue forum that brought together a number of entrepreneurs from various sectors. This initiative is part of the Authority's continuous efforts to stimulate and enhance the participation of local enterprises in benefiting from government projects and contracts, thereby contributing to national economic growth and strengthening the role of these enterprises in the development journey.

The event, held at the W Hotel Muscat, was attended by H.E. Eng. Badr bin Salim Al Ma'amari, Chairman of the Public Authority for Projects, Tenders, and Local Content, along with Mr. Mazen bin Saif Al Busaidi, Deputy Chairman of the SME Development Authority (Riyada). The forum is part of a series of national initiatives aimed at broadening the participation of small and medium enterprises (SMEs) in developmental projects and enhancing their contribution to the GDP, in alignment with the goals of economic sustainability and reinforcing public-private partnership values.

The forum also reflects the Authority's keenness to engage directly with business owners through an open dialogue that addresses key proposals and challenges in the tendering environment, with the aim of developing relevant policies and procedures. This ensures fair access for these enterprises to government tenders and enhances their capacity for growth and expansion.

Promoting Local Content

H.E. Badr bin Salim Al Ma'amari emphasized that the forum is part of the government's ongoing commitment to supporting SMEs and increasing their contribution to the national economy by allocating no less than 10% of the total value of government procurements and tenders to these enterprises. He stressed that SMEs are vital pillars in realizing Oman's economic vision due to their flexibility, innovation capabilities, and their role in providing job opportunities for citizens.

H.E. also highlighted the Authority's commitment to continuously develop the projects and tenders system in line with the national development goals. He pointed out that the Authority is actively working to implement local content policies more effectively by enhancing performance monitoring tools for companies and ensuring their compliance with Omanization and the use of local products and services within awarded contracts.

Empowering SMEs

For his part, Mr. Mazen bin Saif Al Busaidi, Deputy Chairman of the SME Development Authority (Riyada), stated that this joint forum underscores the ongoing commitment to empowering SMEs and enhancing their access to markets through government projects, ensuring their growth and sustainability.

He added:

"At Riyada, we continue to work hand in hand with our partners in the entrepreneurship ecosystem to establish a fair competitive environment, simplify procedures, and activate knowledge and practical empowerment tools for our entrepreneurs, as these are fundamental pillars for the success of SMEs and their role in the national economy."

Mr. Al Busaidi noted that tangible progress has been observed, as reflected by the increased number of SMEs benefiting from government contracts and tenders. These indicators reflect the positive impact of the policies, decisions, and incentive packages adopted by Oman's entrepreneurship sector.

He also praised the diversification of sectors in which SMEs are now active, aligning with the evolving economic landscape and providing opportunities for growth, expansion, and innovation. He reaffirmed Riyada's commitment to continue collaborating with government and private sector partners to create pathways that enhance the sustainability and competitiveness of SMEs both locally and internationally.

Registered Enterprises

During the forum, participants reviewed the latest developments in available projects and tenders for SMEs. It was highlighted that the number of SMEs registered with the Public Authority for Projects, Tenders, and Local Content has grown to approximately 2,400 enterprises, including 1,600 micro-enterprises, 730 small enterprises, and 75 medium enterprises.

These figures clearly indicate an increasing engagement from entrepreneurs with the Esnad platform, driven by the facilitative and incentive measures adopted by the Authority in recent years. These include the exemption from registration fees, symbolic fees for purchasing tender documents, and the waiver of temporary insurance requirements, which have collectively reduced the financial and administrative burden on business owners and increased their competitiveness in government tenders and procurements.

Benefit from Government Contracts

Statistics show that the number of SMEs benefiting from government contracts has risen to 370 enterprises between 2022 and 2024. This reflects the success of government policies in supporting this crucial segment of the economy.

The data indicates that 15% of government contracts during this period were awarded to SMEs. Of the total, approximately 230 micro-enterprises (representing 13.7% of registered SMEs) benefited from contracts, with an Omanization rate of 15.1%. Around 130 small enterprises (17.8% of beneficiaries) won contracts, with an Omanization rate of 9.1%. For medium enterprises, the benefit rate reached 16.9%, with an Omanization rate of 13.5%.

These outcomes demonstrate the growing ability of SMEs to effectively compete for government contracts, enhancing national employment and reinforcing the concept of local value creation.

Diversifying Sectors

The forum also addressed the need to diversify the sectors in which SMEs operate. Currently, most projects involve construction, maintenance, and roads. There is potential for SMEs to expand into promising sectors such as electromechanical works, telecommunications, information technology, pipeline networks, engineering services, and consultancy offices. This diversification would provide broader opportunities for SMEs to expand their business base and increase their chances of securing more specialized and dynamic government contracts, aligning with the evolving needs of national development.

Importance of Dialogue

Attendees from SMEs stressed the significance of such forums, as they help convey the voices of entrepreneurs to decision-makers and enhance the government's understanding of the real challenges SMEs face in the competitive environment of projects and tenders.

These discussions contribute to formulating practical solutions that empower SMEs in the local market. Participants also emphasized the importance of continuing such open dialogues to promote transparency, support innovation and entrepreneurship, and build a more competitive and sustainable business environment. The ultimate goal is to allocate more opportunities to SMEs through clear and integrated strategies that maximize their contribution and ensure optimal benefit from government spending to support and grow these enterprises.

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