Trade between Oman and the UAE jumped 13% to nearly $3.8 billion in the first quarter, as Iran’s closure of the Strait of Hormuz pushed commerce away from blocked sea lanes and onto land routes through the sultanate. With its ports and borders sitting outside the strait, Oman has been one of the few economies in the region to benefit from the war: Trade with Saudi Arabia nearly tripled to a record $830 million in March, and customs declarations on Dubai’s “green corridor” with Oman climbed to nearly 100,000 in April.
How much of that traffic survives once Hormuz reopens remains to be seen, but Oman is developing its infrastructure for the long-term. Construction began on a $2.5 billion project to build a rail line to the UAE last year, and a $1 billion economic zone is being created on the Saudi border.