Oman Facility Management Market Size

Oman Facility Management Market Analysis

The Oman Facility Management Market size is estimated at USD 0.7 billion in 2024, and is expected to reach USD 1.05 billion by 2029, growing at a CAGR of 8.45% during the forecast period (2024-2029).

Facility management comprises a wide range of solutions and services influencing enterprises' efficiency and productivity. The Oman facility management market is primarily driven by the growth in the construction sector, increasing demand from the commercial sector coupled with government initiatives, and expansion of the hospitality sector.

• Adopting integrated facilities management (IFM) across Oman FM vendors has created ample opportunities for the market. With immense pressure on businesses to operate as efficiently as possible and care for their cash flows, offering integrated facilities management has led the end-users to incur lesser costs for regular tasks. Therefore, driving the demand for hard and soft facility management services in the country's businesses.
• Oman has drafted its Vision 2040 to boost future developments in the country. The knowledge-based population and societies will empower the future vision of the country. With the help of industrial growth, the country aims to join the developed countries worldwide. With the help of building smart and sustainable cities and technologically-advanced infrastructure facilities, the country aims to be a pioneer in the Middle East region. Such instances are expected to create significant growth opportunities for facility management market vendors in the country over the forecast period.
• The facility management market is in an emerging stage in the Oman ecosystem. The significant demand from the commercial sector players has grown considerably in the past few years. The growth in shopping malls, new manufacturing facilities, and significant expansion of offices by IT companies are expected to drive the market at a rapid pace over the forecast period.
• However, the country's FM market consists of several smaller and local vendors, which poses a significant challenge in terms of pricing pressure, lower margins, barriers to entry in the market, etc. The players must standardize the offerings for diverse market needs in a fragmented market. Local players with fewer international relationships led to fewer adoption of technologically-advanced solutions, which will be a major challenge with a long-term effect.
• In the first phase of the COVID-19 pandemic, the Oman facility management market witnessed a significant decline in growth (implementation of lockdowns, work-from-home scenarios, etc.). The lockdown effect additionally led to a labor shortage across the facilities and the facilities management companies, owing to the majority of the workforce being hired from foreign countries. Hard facilities management services like heating, ventilation, and air conditioning have also recorded significant growth during the country's pandemic.