MUSCAT // An evening at the opera will soon be an option for tourists visiting Oman.
The country is planning to launch the first Royal Opera House in the Gulf region by the end of this year.
It is hoped the opera house in Muscat will help to attract high-spending visitors to Oman as it focuses on expanding tourism's contribution to the economy.
Construction started on the property in 2007.
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The venue "will become an iconic building for Oman and a world-class venue for performing arts", said Salem Al Mamari, the director general of tourism promotions at Oman's ministry of tourism.
The venue, highly anticipated by locals in Muscat, is likely to attract opera singers and other performers from around the world, as well as local musicians, according to the ministry.
The Royal Opera House will release a programme of upcoming performances soon, Mr Al Mamari said.
This year, tourism is expected to account for US$1.93 billion (Dh7.08bn), or about 3 per cent, of the country's economy. Last year, the sultanate attracted more than 1.6 million tourists.
Hoteliers said there had been a noticeable decline in visitors from Europe in the past few months because of concerns among travellers prompted by protests in the country.
Oman has largely focused on its cultural, historical and natural assets in its tourism promotions.
It has approved the spending of about $8bn on tourism-related property developments across the country, according to the ministry of tourism.
"The next few months will witness the opening of 1,400 new hotel rooms," the ministry said. "The launch of new resorts and hotels will be welcome developments as demand can be very overwhelming during peak seasons. We also need to broaden the base of mid-range and budget hotels."
The sultanate is also improving its airport infrastructure. Muscat International and Salalah airports are being expanded, while new local airports are being built.
Oman has stressed it is keen to preserve its culture and traditions.
"We are not looking for mass tourism," Mr Al Mamari told The National recently. "We are not into numbers. We are into the quality of the tourist. Oman is a niche market. We are trying to tackle a certain segment, and tourists who will be able to help us to keep and maintain Oman as it is for generations to come."
The tourism department is planning to develop several of its forts and castles into museums and is converting some of its old villages into guest accommodation. The UAE is the main source of tourists from the GCC visiting Oman.
Many other tourism developments are taking place in the country, with a growing number of international hotel brands entering the market. Among the hotels under development in Oman are Moevenpick and Club Med properties in Salalah.
Oman's tourism industry is expected to directly employ 35,000 people this year, increasing to 50,000 jobs by 2021, according to the World Travel and Tourism Council.
"The state has stepped up its programme of developing airport and road links to more remote areas of the country," according to a report by the Oxford Business Group. "It is providing financial incentives in the form of tax holidays for investors in the sector, and cheap land for locals in rural regions to use for tourism purposes."
rbundhun@thenational.ae
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Business Insights
- As per the document, there are six filing options, including choosing to report on a realisation basis and transitional rules for pre-tax period gains or losses.
- SMEs with revenue below Dh3 million per annum can opt for transitional relief until 2026, treating them as having no taxable income.
- Larger entities have specific provisions for asset and liability movements, business restructuring, and handling foreign permanent establishments.
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Director: Jon M Chu
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Info
What: 11th edition of the Mubadala World Tennis Championship
When: December 27-29, 2018
Confirmed: men: Novak Djokovic, Rafael Nadal, Kevin Anderson, Dominic Thiem, Hyeon Chung, Karen Khachanov; women: Venus Williams
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UAE currency: the story behind the money in your pockets
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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
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Citadel: Honey Bunny first episode
Directors: Raj & DK
Stars: Varun Dhawan, Samantha Ruth Prabhu, Kashvi Majmundar, Kay Kay Menon
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COMPANY PROFILE
Founders: Alhaan Ahmed, Alyina Ahmed and Maximo Tettamanzi
Total funding: Self funded
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UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
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