The International Telecommunication Union has called on Oman to update its telecommunications legislation and improve coordination among regulators, government bodies and private-sector players, warning that outdated rules are slowing digital investment and innovation, according to a report by Muscat Daily.
The recommendation comes in a country assessment by the UN agency examining Oman’s preparedness for digital transformation. While the report notes that the sultanate performs above regional and global averages in several regulatory areas, including institutional capacity and legal frameworks for ICT markets, it highlights governance as a weak point where Oman trails both Arab peers and global benchmarks.
At the centre of the concerns is the Telecommunications Regulatory Act, introduced in 2002. According to the ITU, the law was built for a telecom landscape dominated by traditional voice and connectivity services and does not adequately empower regulators to oversee emerging technologies such as artificial intelligence, over-the-top platforms and advanced digital services. Industry operators consulted during the review described the legislation as a constraint on growth and expressed frustration over delays in revising the law, noting that no clear timeline or draft has been publicly shared despite years of discussion.
The ITU outlined nine recommendations, with priority placed on revising or replacing the existing telecom law. The agency said a modern framework should clearly define governance for new technologies while remaining flexible enough to accommodate future innovation.
The report also stresses the need for greater transparency in regulatory processes, urging authorities to publish key documents such as memoranda of understanding, meeting records and regulatory roadmaps. It recommends establishing permanent inter-agency working groups to address sector challenges collaboratively and calls for earlier-stage public consultations when drafting policies, rather than seeking feedback after decisions have largely been formed.
Feedback from telecom operators indicates ongoing challenges in engagement, with companies reporting that while they can submit input to regulators, responses are often unclear or lack impact. They also pointed to inconsistent requirements from different government entities, particularly around data privacy and cloud services, as factors creating uncertainty and discouraging investment.
The ITU acknowledged that national initiatives such as Oman’s Vision 2040 and the National Digital Economy Programme provide a strong strategic direction. However, it emphasised that aligning legal and regulatory frameworks with these ambitions is now critical to unlocking further progress.
