Cost of Living in Oman

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The cost of living in Oman is more reasonable than in many neighbouring countries, and income is generally tax-free. Prices are highest in the capital city, Muscat, which remains more affordable than some major Western cities but can still be costly in certain aspects, such as housing and schooling.

As a highly skilled Western worker, you’ll likely be offered a generous expat package with a lucrative salary, accommodation, a car, bonuses, flights home, and medical insurance. However, some additional costs may arise that expats should be prepared for.

Unexpected expenses such as visa-related health checks can add up, and school fees are a significant cost for families. Relative job insecurity is another factor to consider. It can impact financial stability for expats, particularly with ongoing Omanisation policies that prioritise local hiring in specific sectors.

Cost of accommodation in Oman

Accommodation costs in Oman are much more affordable than in many expat destinations, with lower rent and utility expenses. New homes are constantly popping up, so finding a place that fits any budget, mood, and style is easy. That said, costs do vary with size, facilities, and area. Many rentals come unfurnished, so shipping and buying furniture are additional costs, and utilities such as water, gas, and electricity are generally excluded from the quoted rental price.

You should note that some landlords may ask for advance lump sums equivalent to four, six or 12 months’ rent in advance. In some cases, paying rent monthly is possible, too, so it is important to understand the lease contract.

Accommodation in Oman
Working in Oman

Cost of transport in Oman

Driving a car in Oman is much cheaper than in Europe. As a result, virtually everyone drives, and you easily find a second-hand vehicle to buy from another expat who may be moving on to their next destination. Few people use public transport, although buses are a cheaper alternative.

Taxis are also good value. There is a metered fare to gauge the price, and passengers can often negotiate this if they are not satisfied with the amount. You can also find local ride-hailing services like Otaxi, Tasleem, and other apps, which allow you to confirm the fare before travelling.

Public Transport in Oman

Cost of groceries in Oman

European expats will find the cost of food and drink to be cheaper in Oman, while others may find it pricier. Regardless, though, if you are willing to buy local products, it’s an easy way to save money. That said, Oman has introduced a ‘sin tax’ on some products – such as tobacco, alcohol, pork and energy drinks, among others – which has dramatically increased their prices.

Cost of entertainment and eating out in Oman

Eating out can be costly, and if you want a drink, you’ll have to frequent expensive Western-style hotels. If you don’t mind forgoing alcohol, there is a wide array of independent ‘dry’ establishments where meals are excellent and reasonably priced.

Sadly, tourist activities are highly overpriced. On the flip side, beach activities cost next to nothing, cinema tickets are relatively cheap, and the Royal Opera House, a must-see, has internationally competitive prices.

Alcohol

Buying alcohol in Oman can be complicated and costly, and there are strict laws and lifestyle customs to abide by. If you would like to purchase and drink alcohol in Oman, you must procure a liquor permit. The amount of alcohol you can buy is limited based on your monthly income. It is illegal to purchase alcohol that exceeds 10 percent of your monthly gross salary. An authorised residence card is required to get a permit.

Alcohol can only be bought and consumed in establishments and restaurants with a proper licence to sell it, and if rules are not followed, you may face hefty fines. With a liquor permit, you can also buy alcohol from bottle shops for home consumption.

Lifestyle in Oman

Cost of education in Oman

The cost of expat schooling is a massive expense if your employer does not cover it – especially if you have several children. While there are public schools, you’ll find that most expats generally opt for costly international and private schooling, and many schools require fees to be paid before the first day of the term.

Although international schools in Oman are pricey, they typically offer a wide range of global curricula and offer English as the language of instruction. Moreover, these schools usually have excellent facilities, teaching standards and engaging extracurricular activities.

Education and Schools in Oman
International and Private Schooling in Oman

Cost of healthcare in Oman

Citizens of Oman and other member countries of the Gulf Cooperation Council (GCC) can access public healthcare for free. Other expats get a subsidised rate when using the public healthcare system, but tend to opt for private options.

Health insurance is mandatory when moving to Oman, with employers now legally required to provide coverage for all expat workers and their families. Most companies include this as part of the employment package. Be sure to check the terms and conditions of any insurance offered to ensure it covers dental, optical and mental healthcare too.

Healthcare in Oman