Oman Home Improvement Market Report Size Share Growth Drivers Trends Opportunities & Forecast 2025–2030

Oman Home Improvement Market Overview

• The Oman Home Improvement Market is valued at USD 2.1 billion, based on a five-year historical analysis that aligns with the combined scale of the country’s construction, residential real estate, and hardware and building materials segments. This growth is primarily driven by increasing urbanization, a growing middle-income population, and sustained demand for home renovation and improvement projects, particularly in major urban centers. The market has seen rising demand for home improvement products and services such as building materials, finishes, and DIY solutions, supported by greater consumer focus on comfort, aesthetics, and energy efficiency in living spaces.
• Muscat, the capital city, is a dominant player in the market due to its rapid urban development, higher concentration of residential and mixed-use projects, and dense network of retail and trade outlets. Other significant regions include Dhofar and Al Batinah, where large-scale infrastructure and industrial projects, logistics hubs, and population growth are supporting demand for building materials, finishes, and related home improvement categories. The presence of major retail chains, specialized hardware and building materials suppliers, and local merchants further strengthens the market in these areas and supports both project-based and DIY home improvement spending.
• In 2023, the Omani government advanced its agenda for sustainable building practices through instruments such as the Executive Regulations of the Civil Defence Law issued by the Royal Oman Police (ROP) in 2022 and updated technical requirements under the Oman Building Code overseen by the Ministry of Housing and Urban Planning, which promote fire safety, thermal performance, and efficient use of building materials in new developments. These regulations and codes require new residential and commercial buildings to comply with specified safety and performance standards, encouraging developers and homeowners to adopt better-insulated systems, compliant mechanical and electrical installations, and improved building envelopes. This framework supports the national strategy for sustainable construction, boosting demand for certified building materials, energy-conscious design solutions, and higher-quality home improvement products across the market.

Oman Home Improvement Market Segmentation

By Product Category:The product category segmentation of the Oman Home Improvement Market includes various subsegments such as Building Materials, Paint, Wallpaper & Surface Treatments, Flooring & Tiling Solutions, Kitchen & Bathroom Fixtures and Fittings, Electrical, Lighting & Smart Home Systems, Plumbing & Sanitaryware, Lawn, Garden & Outdoor Living, Home Décor & Interior Finishing, Tools, Machines & Hardware, and Others. Building Materials represents the leading subsegment, supported by the expansion of the construction industry and the growing hardware and building materials trade in the country. Demand for quality building materials is fueled by both residential and commercial projects, including villas, apartments, and mixed-use developments, with increasing emphasis on durable, compliant, and aesthetically appealing products. The broader shift towards modern and sustainable construction practices, such as better insulation, improved façades, and higher-grade finishes, continues to influence purchasing patterns in this segment.

By Project Type:The project type segmentation includes Renovation & Refurbishment, New Construction, Maintenance & Repairs, DIY Projects, and Others. Renovation & Refurbishment is the dominant segment, underpinned by a rising stock of existing villas and apartments requiring upgrades, energy-efficiency improvements, and modernized finishes to meet evolving consumer preferences. This trend is supported by growing middle-income households, lifestyle-driven upgrades, and the need to refresh older housing built during earlier waves of development. The DIY Projects segment is also gaining traction, supported by the expansion of DIY and hardware store formats and online channels, as consumers increasingly undertake smaller-scale painting, décor, and repair tasks themselves for cost savings and personalization.

Oman Home Improvement Market Competitive Landscape

The Oman Home Improvement Market is characterized by a dynamic mix of regional and international players. Leading participants such as Oman Trading Establishment (Home Mart, etc.), Khimji Ramdas, Al-Futtaim Group (IKEA, ACE, etc.), Landmark Group (Home Centre, Home Box), Al Seeb Technical Establishment (SARCO), Al Maha Ceramics SAOG, Hadid International Services (Building Materials Division), Assarain Group of Companies (Assarain Concrete, Tiles & Sanitaryware), Towell Group (Retail & Building Materials), Bahwan Engineering Group (Civil & Interiors Division), Al Anwar Ceramic Tiles Company, Muscat Home Centre, Oman Cement Company, Raysut Cement Company, and other emerging local home improvement retailers contribute to innovation, geographic expansion, and service delivery in this space. These companies benefit from Oman’s ongoing construction and housing development, with building materials, ceramics, sanitaryware, and home furnishings forming key product categories supplied to both trade and retail channels.

Oman Home Improvement Market Industry Analysis

Growth Drivers

• Increasing Disposable Income:The average disposable income in Oman is projected to reach OMR 1,600 per month in future, reflecting a 5% increase from the previous period. This rise in income allows consumers to allocate more funds towards home improvement projects. As families invest in enhancing their living spaces, the demand for home improvement products and services is expected to surge, driving market growth significantly. Increased financial flexibility enables homeowners to undertake renovations and upgrades, further stimulating the sector.
• Urbanization and Population Growth:Oman’s urban population is anticipated to grow by 3% annually, reaching approximately 3.6 million in future. This urbanization trend leads to increased housing demand and subsequently boosts the home improvement market. As more people move to urban areas, the need for modernized living spaces rises, prompting homeowners to invest in renovations and enhancements. This demographic shift creates a robust market environment for home improvement products and services, fostering industry expansion.
• Government Initiatives for Housing Development:The Omani government has allocated OMR 1.2 billion for housing projects in future, aiming to provide affordable housing solutions. These initiatives include infrastructure development and incentives for homebuyers, which stimulate the home improvement market. As new housing projects emerge, existing homeowners are encouraged to upgrade their properties, leading to increased demand for renovation services and products. This government support plays a crucial role in driving market growth and enhancing living standards.

Market Challenges

• High Cost of Raw Materials:The cost of construction materials in Oman has risen by 12% in the recent period, primarily due to global supply chain disruptions. This increase poses a significant challenge for home improvement projects, as higher material costs can deter homeowners from undertaking renovations. Consequently, the market may experience slower growth as consumers become more cautious with their spending, impacting overall industry performance and profitability.
• Limited Access to Financing Options:In future, only 35% of Omani households have access to affordable financing for home improvement projects. This limited access restricts homeowners from investing in renovations, thereby hindering market growth. The lack of diverse financing options, such as low-interest loans or grants, makes it challenging for consumers to undertake significant home improvements. As a result, the market may struggle to reach its full potential without improved financial accessibility.

Oman Home Improvement Market Future Outlook

The Oman home improvement market is poised for significant growth, driven by increasing disposable incomes and urbanization trends. As more consumers seek to enhance their living spaces, the demand for innovative and sustainable home solutions will rise. Additionally, government initiatives aimed at housing development will further stimulate the market. However, challenges such as high raw material costs and limited financing options may temper growth. Overall, the market is expected to adapt and evolve, presenting new opportunities for stakeholders.

Market Opportunities

• Growth in E-commerce for Home Improvement:The e-commerce sector in Oman is projected to grow by 25% in future, providing a significant opportunity for home improvement retailers. Online platforms enable consumers to access a wider range of products conveniently, enhancing purchasing experiences. This shift towards digital shopping can lead to increased sales and market penetration for home improvement businesses, capitalizing on changing consumer behaviors.
• Increasing Interest in Home Automation:The home automation market in Oman is expected to reach OMR 60 million in future, driven by rising consumer interest in smart home technologies. This trend presents an opportunity for home improvement companies to integrate smart solutions into their offerings. As homeowners seek to enhance convenience and energy efficiency, the demand for automated systems will create new avenues for growth within the home improvement sector.