Oman has completed nearly 87% of its National E-Commerce Plan 2022–2027, marking another major step in the Sultanate’s efforts to strengthen its digital economy and establish itself as a regional e-commerce hub.

According to recent reports, 26 of the programme’s 30 initiatives had been completed by the end of 2025, corresponding to a completion rate of 86.7%. Four additional initiatives were delivered during the second half of 2025 alone.

The programme covers several areas considered essential for building a competitive digital-commerce ecosystem, including regulation, digital services, electronic payments, logistics, business facilitation and e-commerce awareness.

The remaining initiatives are expected to be completed before the National E-Commerce Plan reaches its scheduled conclusion in 2027.

Oman wants to become a regional e-commerce hub

The National E-Commerce Plan forms part of the wider Oman Vision 2040 economic transformation programme, through which the country is attempting to diversify its economy and reduce its dependence on traditional oil and gas revenues.

The e-commerce strategy is specifically designed to improve the environment for digital businesses and SMEs while strengthening the infrastructure required for domestic and cross-border online trade.

Oman's Ministry of Transport, Communications and Information Technology describes the national strategy as a programme aimed at empowering businesses, particularly SMEs, through better digital infrastructure, logistics services and electronic payment capabilities.

The plan covers eight main areas, including ICT infrastructure, transportation and trade facilitation, payments, digital skills, e-procurement and the legal and regulatory environment.

Progress has accelerated significantly

Implementation of the programme has accelerated over the past several years.

By the end of 2023, Oman had completed 14 of the 30 planned initiatives, representing approximately 46% of the programme. By November 2024, that figure had increased to 21 completed initiatives, or around 70%.

Current reporting now puts the number at 26 initiatives.

That means Oman has moved from completing fewer than half of the programme's initiatives in 2023 to completing almost nine out of ten within roughly two years.

The government aims to complete the entire programme by 2027.

Regulation and consumer trust are becoming increasingly important

Building infrastructure alone is not sufficient to develop a mature e-commerce market.

Oman has therefore also focused on creating a more formal regulatory environment for online merchants.

Previous initiatives under the programme have included measures aimed at regulating digital marketplaces, simplifying the registration of online businesses and developing mechanisms designed to increase consumer confidence in legitimate e-commerce operators.

This becomes increasingly important as more small businesses and entrepreneurs move from social-commerce channels into formal digital retail.

For international sellers, greater standardisation could also make Oman a more predictable market in which to operate, particularly when it comes to business registration, payments and marketplace compliance.

Digital payments support Oman's e-commerce expansion

Payments represent another important component of the country's digital-commerce strategy.

Oman's Ministry of Commerce, Industry and Investment Promotion recently reported significant growth in the use of digital payment methods during 2025, alongside continued development of fintech, digital banking and e-commerce infrastructure.

Improving payment infrastructure can remove one of the most persistent barriers to e-commerce adoption in developing digital markets.

It also makes the market more accessible to international merchants, payment providers and marketplaces looking to serve consumers in the Gulf region.

Logistics remains central to the strategy

Oman's ambitions extend beyond domestic online retail.

Its National E-Commerce Plan is designed to help position the country as a regional digital-commerce hub, making logistics and trade facilitation critical components of the programme.

Oman's geographical position between Asia, the Middle East and East Africa gives the country potential advantages as a logistics and distribution gateway.

For cross-border e-commerce operators, improvements to customs processes, addressing systems, logistics networks and digital trade infrastructure could therefore be as important as growth in domestic consumer demand.

China is already an important source market for goods purchased online by Omani consumers, particularly in categories such as furnishings, machinery and construction-related products, according to the US International Trade Administration.

A growing opportunity for cross-border sellers

The development of a more mature e-commerce ecosystem could gradually make Oman a more attractive destination for international retailers, marketplaces and logistics companies.

Industry estimates also point towards continued growth in the country's online retail sector. Mordor Intelligence estimates the Omani e-commerce market at approximately $3.26 billion in 2026 and forecasts it could reach $4.62 billion by 2031.

Market forecasts should always be treated as estimates rather than guaranteed outcomes, but the direction is consistent with the government's wider push towards digitalisation.

The broader ambition is significant. The IMF has previously noted that Oman wants the digital economy's contribution to GDP to increase from around 2% to 10% by 2040 as part of its economic transformation strategy.

What happens next?

With 26 of 30 initiatives now reported as completed, Oman is entering the final phase of its National E-Commerce Plan.

The remaining challenge will be translating government programmes into measurable commercial outcomes: more digital businesses, higher online sales, greater consumer trust, smoother cross-border transactions and stronger participation by Omani SMEs in international markets.

For international e-commerce businesses, Oman is unlikely to rival neighbouring Saudi Arabia or the UAE in market size in the immediate future.

Its importance may instead come from its position as an increasingly sophisticated digital market and potential logistics gateway connecting the Gulf with Asia and East Africa.

If Oman completes its remaining initiatives by 2027, the National E-Commerce Plan will provide an important test of whether government-led digital infrastructure programmes can successfully turn a relatively small Gulf market into a more significant participant in regional cross-border commerce.

The post Oman completes nearly 87% of national E-Commerce Plan as digital trade push accelerates appeared first on Cross-Border Magazine.

By Alexander Otto, Head of Corporate Relations at Tradebyte

E-commerce in the Middle East is gaining ground fast. According to Statista, online sales are projected to surpass $50 billion in 2025. As the region undergoes a rapid digital transformation, a young, tech-savvy population, increasing disposable incomes, and a strong appetite for international fashion are fuelling this boom. For UK and EU fashion brands looking to expand, this offers significant opportunities but also requires strategic planning to navigate the unique market dynamics.

With two of the region’s largest markets, the UAE and Saudi Arabia, boasting internet penetration rates of over 90%, consumers in these countries are highly connected. AI-driven personalisation, seamless omnichannel experiences, and the rise of social commerce are all rapidly reshaping shopping habits.  

Mobile commerce accounts for nearly 79% of transactions, as tracked by eCommerceDB, while social media is increasingly used to shop and discover new brands. Indeed, RedSeer Consulting points to annual social commerce growth of 33% in the Middle East and North Africa (MENA), with platforms like Instagram and TikTok becoming primary sales channels. 

In the UAE alone, Deloitte tells us that over 60% of fashion sales come from international brands, reflecting a strong preference for European and UK-based fashion. Government investment in digital infrastructure and regulatory reforms is further accelerating the region’s e-commerce growth, with countries like the UAE and Saudi Arabia creating dedicated free zones to support cross-border commerce, reducing barriers for foreign brands. As a result, entering the Middle Eastern market is becoming more accessible, provided brands can navigate logistical complexities, cultural preferences, and local regulations.

Middle East E-commerce: Challenges to overcome

Despite its potential, the Middle Eastern market presents challenges that must be addressed. With 71% of consumers unwilling to purchase from a company they don’t trust, brands must focus on building consumer trust for long-term success. Localised marketing strategies, smooth delivery, transparent return policies, and strong customer service will all be important for establishing credibility. Not only that, but navigating cultural sensitivities and regulatory requirements, including import taxes and e-commerce compliance laws, are all essential for smooth market entry.

One of the biggest hurdles is logistics. The region’s vast geographic spread makes last-mile delivery and fulfilment complex. Partnering with reliable logistics providers and leveraging local warehouses can help streamline operations and reduce shipping times. Fast, reliable delivery is essential, but so is the ability to handle returns smoothly. Offering local return options, such as drop-off points or prepaid labels, can reassure customers and increase their willingness to purchase. Nearshoring and regional supply chain realignments allow for greater responsiveness to local demand and mitigate supply chain risks, ensuring faster, more reliable delivery and easier returns.

Another significant challenge is payment preferences. While digital payments are growing, cash-on-delivery remains prevalent, accounting for 36% of transactions in some areas according to the Worldpay Global Payments Report. Brands must offer flexible payment options catering to local shopping habits while minimising the risks associated with cash transactions.

Marketplaces paving the way for the Middle East e-commerce fashion expansion

Online marketplaces play a crucial role in facilitating market entry for international brands. Platforms such as Noon and Namshi provide established infrastructure that allows brands to reach millions of customers without needing a local brick-and-mortar presence. Noon holds over 30% of the UAE’s e-commerce market, while Namshi offers more than 1,200 global brands. Amazon.ae is another growing player, offering a robust fulfilment network and cross-border capabilities. 

According to EZDubai, these marketplaces provide access to a regional customer base expected to surpass 140 million online shoppers by 2025. Handling logistics, fulfilment, and localised payment options, these platforms represent invaluable partners for brands expanding into the region. Brands not only gain logistical support but also access to valuable consumer insights that can be leveraged to optimise inventory management, refine marketing strategies, and establish competitive pricing models tailored to regional preferences.

Technology-driven solutions for Middle East e-commerce

Balancing scalability with local relevance is key for brands entering new territories through marketplaces. Technology plays a vital role in achieving this balance, with SaaS solutions enabling brands to manage multiple marketplaces and regional requirements through a unified platform. These tools streamline operations, from inventory management to localised content delivery, ensuring consistency while allowing for market-specific customisation.

Local relevance extends beyond product adaptation – it involves making every customer interaction, from browsing to delivery, feel personalised. By leveraging AI and data analytics, brands can gain deep insights into consumer behaviour, enabling them to tailor shopping experiences, forecast demand, and optimise inventory. This data-driven approach enhances efficiency while maintaining a personal touch, helping brands scale effectively.

As seamless shopping experiences become the norm across digital and physical channels, integrating data and inventory management systems is vital for fulfillment and brand consistency. Social commerce is also emerging as a dominant force in consumer engagement. Platforms like TikTok Shop, Instagram Shopping, and Snapchat’s e-commerce features influence purchasing decisions and provide new ways for brands to connect with younger audiences.

However, social commerce success requires more than visibility – it demands a strategic, platform-specific approach focused on engagement, personalisation, and seamless integration. A strong technological foundation that enables smooth channel integration, combined with robust analytics, is essential for brands looking to capitalise on this evolving landscape.

Seizing the opportunity

The Middle East’s e-commerce sector is set for unprecedented growth, making it a prime opportunity for fashion brands ready to expand internationally. However, success in this dynamic region depends on a well-crafted strategy that combines digital expertise, localised adaptation, and strong marketplace partnerships. Businesses that leverage data analytics, optimise their omnichannel presence, and embrace social commerce will be best positioned to thrive in this evolving landscape.

The post The Middle East: The Next Big E-Commerce Frontier for Fashion Brands appeared first on Cross-Border Magazine.

Saudi Arabia is making expansive plans to become a major national, regional, and international market for e-commerce. This is despite multiple access-to-market issues and other barriers

Saudi e-commerce topped $10 billion in revenue in 2023, making the country the world’s 28th largest online market. It’s also on par with its regional neighbor, the United Arab Emirates, according to a new regional report from Agility Logistics.

Online revenue growth in Saudi Arabia is forecasted to expand at 13.5% annually through 2027, much faster than the global growth average of 11.2%. Meanwhile, e-commerce sales are expected to reach and exceed $30 billion by 2027 and $44 billion by 2030.

In key areas such as investment, logistics capacity, and shipping volumes, Saudi Arabia is set to establish itself as the region’s new e-commerce leader, according to the report’s authors.

A significant push and subsidies for national infrastructure development are tied to high-level ambitions for e-commerce growth.

Saudi Arabian e-commerce segmentation and current status

Currently, the largest category in the Saudi Arabian e-commerce market is Hobby & Leisure, which accounts for 23.6% of the revenue. It is followed by Electronics with 22.5%, Fashion with 17.8%, Furniture & Homeware with 11.8%, Care Products with 8.8%, DIY with 8.0%, and Grocery with the remaining 7.5%.

Also, the e-commerce net sales of the top 100 Saudi Arabian online stores accounted for about US$1,103 million in 2021. 

Namshi.com heads the list of the top online stores by net sales in Saudi Arabia in 2021. Other large and prominent players in the Saudi Arabian market are Amazon.sa, jarir.com, extra.com and noon.com. 

The top 5 online stores in Saudi Arabia accounted for 48% of the net sales of the top 100 online stores in 2021. This report provides a comprehensive overview of the Saudi Arabian eCommerce market, including consumer insights, market trends, and top store analyses.

The post Saudi Arabia aims to become a major global e-commerce market appeared first on Cross-Border Magazine.