Financing for equity in higher education
1. Education resources to subnational governments
2. Education resources to institutions
3. Education resources to students
4. Support for students' living costs
Introduction
Key financing indicators (UIS Data)
In Oman, between 2003 and 2021, the gross enrolment ratio for tertiary education rose steadily from 14.33% to 43.84%. From 2004 to 2020, the initial government funding per tertiary student as a percentage of GDP per capita increased from 18.92% to 79.70%, while the initial household funding per tertiary student as a percentage of GDP per capita amounted to 0.18%, as of 2020.
Tuition-free status
No evidence was found in national laws or policies explicitly guaranteeing tuition-free higher education in Oman. The 2023 Higher Education Law (Royal Decree No. 27/2023) regulates tuition-setting mechanisms for private higher education institutions, granting them autonomy to determine fees in accordance with its implementing regulations, while it does not establish tuition fee standards for public higher education institutions. In practice, public higher education in Oman is widely understood to be provided free of charge or at very low cost to Omani nationals.
Governance
The responsibility for financing higher education is shared across several central government bodies, while the Ministry of Higher Education, Research and Innovation (MoHERI) remains the key policy and regulatory hub for the sector. The Education Council, through the National Strategy for Education 2040, sets the overarching strategic directions and principles for education financing, including higher education, and plays a coordinating role in developing a more integrated funding framework and aligning budget allocations with national priorities. The Ministry of Finance allocates resources from the central state budget to the education and human resources development and related sectors, from which funds flow in the form of line item appropriations to MoHERI, Sultan Qaboos University, the University of Technology and Applied Sciences, the Royal Academy of Management, the Oman College of Health Sciences, and other public higher education institutions affiliated with sectoral ministries such as defense, health, interior and justice (for military, health, police and judicial academies), which in turn oversee and manage the use of these budgets at institutional level.
1. Education resources to subnational governments
No evidence was found of formal funding mechanisms for transferring resources from the central government to local or subnational governments for public higher education. Public higher education financing in Oman is predominantly funded from the central state budget and governed by central ministries, although responsibilities and budgets are still fragmented across several authorities, which recent national strategies seek to rationalise and partially decentralise.
2. Education resources to institutions
Funding for private universities in the absence of public institutions
No evidence was found that private higher education institutions receive direct, recurrent public funding from the state budget. However, Ministerial Decision No. 79/2025 establishes a targeted financial support scheme under which eligible non-government (private) higher education institutions may receive one-off capital subsidies limited to up to 50% of paid-in capital, capped at OMR 3 million, exclusively for building construction costs. Eligibility is restricted to institutions that meet specific criteria, including institutional accreditation, a multidisciplinary structure, and demonstrated performance in research and internationalisation. The decision further stipulates that any misuse of funds or unauthorised disposal of assets created using the subsidy shall result in full recovery of the grant.
Allocation and equity
No evidence was found of equity-targeted institutional funding mechanisms for public higher education. However, the National Strategy for Education 2040, first proposes a set of general funding reforms, including the introduction of a unified funding scheme and the adoption of outcomes-based and efficiency-based funding approaches. The strategy also acknowledges the need for equity-oriented support, suggesting that higher education institutions be provided with funding resources for needy students to enable them to reach their targeted student capacity.
3. Education resources to students
Admission for vulnerable groups
No evidence was found of separate or quota-based admission criteria specifically established for vulnerable groups within public higher education institutions.
Scholarships, grants and loans for vulnerable groups
Admission to government higher education institutions is allocated primarily on a merit-based basis through a centralized national admissions system administered by the Higher Education Admission Center (HEAC). Government-funded admission seats are awarded according to applicants’ academic performance and programme-specific eligibility requirements.
Administered by the Ministry of Higher Education, Research and Innovation, Internal scholarship seats are government funded places for study in private higher education institutions, grouped under one umbrella but differentiated by level and target group, and they remain fully competitive (not automatic) for all applicants. Internal scholarship seats first include general bachelor and diploma schemes for all students, where the state pays 100% of tuition while families cover transport, housing and living costs, and institution‑funded bachelor seats, where private HEIs waive tuition entirely but students cannot later request a change of institution or programme and receive no additional public subsidies. On top of these “all‑students” schemes, diploma‑level internal seats are specifically reserved for low‑income and social security households, with clear income or social security eligibility; these seats also cover full tuition, require formal proof of low income or social security status during registration, and may add a monthly allowance in the case of social‑security students, so that financial support is explicitly targeted to poor and social‑protection‑beneficiary households rather than to all applicants.
Administered by the Ministry of Higher Education, Research and Innovation in coordination with the National Subsidy System (NSS), students registered receive monthly allowances under this scheme, which is intended to alleviate financial strain on students and their families while studying at higher education institutions, including private colleges and universities. Eligibility for the internal scholarship is based on family income thresholds and household size, with higher allowances for students who live more than 50 km from their institutions and lower amounts for those living closer, and applicants must meet criteria linked to their Civil ID being registered in the NSS database.
4. Support for students’ living costs
No evidence was found for any support for transportation services, housing, or textbooks provision in Oman.
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