UAE-Oman Rail Network Set to Boost Collaboration and Growth

The UAE-Oman rail network is a collaboration that is anticipated to contribute to the economic growth of Oman and help the GCC region to become a hub for international logistics.

The Oman-Etihad Rail Company and Mubadala signed an agreement last month that is worth $3 billion and the first phase of the project is expected to begin.

The railway line between Sohar in Oman and Abu Dhabi in the UAE will enable commuters to travel between the two cities in just one hour and 40 minutes.

Oman has always strived to position itself as a bridge and emphasize its strategic location to encourage greater cooperation with its GCC neighbors.

“Oman’s location in the Arabian Peninsula plus its access to deep-sea ports overseeing the Indian Ocean outside of the chokepoint of Hormuz Strait offers an almost perfect stop between the West and the East,” said Mahmood Al Wahaibi, managing partner at Oman Think Urban and infrastructure lead at the Oman National Spatial Strategy project.

Last year, Etihad Rail and Oman Rail formed a partnership which is the Oman-Etihad Rail Company to build a 303km railway line connecting Sohar in Oman to Abu Dhabi.

This is part of Oman's plan to become a logistics hub by 2040, which was outlined in 2014. The logistics strategy aims to create around 300,000 job opportunities in the country's logistics sector.