Ibri investment in particular is completely dependent on government policy. Oman's government policy is to create a national economy based on private enterprise in a competitive environment devoid of monopolistic practices. A stage has now been reached where the basic physical infrastructure of the country is in place and in order to further the soci-economic development of Oman, it is essential to build up a strong, effiicient and competitive private sector with the help of Government incentives, and some financial assistance where necessary, in order to stimulate rapid growth, particularly in areas of production and commerce hitherto unknown in Oman. The Government has embarked on a policy of economic diversification with an emphasis on agriculture, fisheries, tourism, mining, light industry, and now, petrochemicals and other heavy industries. The Government has announced an ambitious privatization plan. New laws and regulations were introduced to promote the diversification of the economy and the involvement of the private and foreign capital.

The Government strategy for economic development has been based on a series of five-year development plans. An international conference, Economic Vision 2020, was held in June 1995, to outline Oman's developmental priorities.  The Government has stated that the development effort of the next 25 years is expected to be characterized by: the objective of doubling per capita income, balanced Government finances, development of human resources and upgrading Omani skills to keep abreast of technological progress, utilization of advanced technology, a free and diversified economy with a vibrant private sector, economic development that is carried out in an ecologically sound way.

A fundamental requisite sought for by countries which hope to ascend to the same level of the progressive countries in diversification of income sources.1 Realizing this fact our rightly guided Government has been giving support and encouragement to the industrial sector due to its essential role in accelerating development wheel. This issuance of the Royal Decree No. 1/79 on Organization and encouragement of Industry was the beginning of actual Industrial release. In addition to the quick development processes witnessed by this sector, they came the Royal Decree No. 17.97 with regard to the financial support to the private sector in the fields of Industry, Tourism, Health, Education, Heritage and Agriculture.