Sultan Haitham bin Tarik’s Welfare and Job programme for its youth I
Dr. Syed Mehboob
Economic and Political Analyst
http//: www.thenewslark.com
Sultan Haitham bin Tarik is a visionary, far-sighted, and kind-hearted leader whose heart beats with his people. He loves his country people very much and takes every possible step for their welfare and betterment. On the sixth anniversary of his accession to the throne, Sultan Haitham bin Tarik has issued a series of royal directives aimed at strengthening social welfare and supporting citizens' living conditions, reaffirming his commitment to the prosperity and well-being of the Omani people.
The Social Protection Fund (SPF) is at the heart of Oman’s comprehensive reforms to extend social security coverage to all population groups. In recognition of its meritorious services, it received the ISSA Good Practice Award at the Regional Social Security Forum for Asia and the Pacific, held in Riyadh, Saudi Arabia, in December 2024. Winning the ISSA Good Practice Award for Asia and the Pacific for the comprehensive extension of social security coverage is a monumental achievement for Oman and the Social Protection Fund. This prestigious recognition highlights Oman’s tireless efforts to build a robust, inclusive, and sustainable social protection system that addresses the diverse needs of people.
For the SPF, this award validates its commitment to implementing forward-thinking policies, modernizing frameworks, and embracing innovative solutions. It serves as a testament to the organization’s leadership in balancing social security goals with economic sustainability, ensuring that Oman’s social protection system evolves to meet contemporary challenges.
On a broader scale, this accolade enhances Oman’s international reputation, positioning the country as a model for others striving to strengthen their social systems. It also opens doors for deeper engagement and collaboration with the International Social Security Association (ISSA) and other member organizations, facilitating the exchange of knowledge and expertise.
This honor is a powerful motivator for Oman to continue its journey toward enhancing social protection. It reaffirms the nation’s commitment to building a system that promotes resilience, inclusivity, and social justice, ensuring the well-being and dignity of all.
Oman’s comprehensive social security reforms introduced a unified, inclusive, and sustainable social protection system to address life-cycle risks and ensure equitable coverage for all societal segments. The reforms are based on a multi-pillar approach, fostering collaboration between the government, private sector, and civil society for an integrated and efficient system.
The reformed system is based on a social protection floor that includes universal benefits to prevent from life-cycle risks and is state-financed. Additionally, a first pillar of social insurance is funded through employer and employee contributions. Finally, a second pillar of supplementary programmes is provided through provident funds and top-up schemes.
For the implementation, a sub-cabinet committee was established to align policies across social protection components like health, labor, housing, and social security, and the SPF was established as the primary body for administering and integrating the system. The reforms were anchored in a legislative framework, and success was achieved through system modernization, digitalization, stakeholder engagement, and public awareness campaigns.
The reformed social protection system in Oman has significantly enhanced the social safety net, boosting public confidence and providing robust protection against economic and social risks. Multiple pension funds and social security programmes were consolidated into a single, cohesive system, enhancing efficiency, transparency, and governance. A unified system ensures financial sustainability and resource optimization, enabling it to support future generations without imposing excessive burdens on current contributors.
Enhanced social protection fosters growth and promotes economic resilience by safeguarding income security and stimulating consumer spending. This creates a stable environment that encourages domestic and foreign investments, driving workforce participation and growth. The reforms expanded coverage to previously uncovered groups, such as non-Omani workers and voluntary participants, ensuring equitable and comprehensive social security for all.
The reforms align with Oman Vision 2040, focusing on equity, social justice, and sustainable development to address present and future challenges. The system also adheres to international frameworks like the UN Sustainable Development Goals (SDGs) and ILO conventions, promoting sustainable progress and global partnerships. This advanced social protection system underscores Oman’s commitment to inclusive development and strengthens the nation’s economic and social foundations, positively impacting both the country’s prosperity and its people.
Other social security organizations can gain valuable insights from Oman’s comprehensive social protection reforms, which demonstrate how to build a unified, inclusive, and sustainable system capable of addressing both current and future socio-economic challenges. Consolidating fragmented pension funds and social security programmes into a single framework enhances efficiency, reduces redundancies, and strengthens governance. Also, integrating social protection with broader policies, such as health, labor, housing, and economic inclusion initiatives, creates a more cohesive and effective system.
Oman’s approach combines state-funded universal benefits with employer-employee contributory schemes, ensuring financial sustainability and equity across generations. Social protection reforms that boost consumer spending, stabilize incomes, and attract investments contribute to broader economic growth and resilience. When it comes to inclusivity, including marginalized groups, such as expatriates, informal sector workers, and housewives, promotes equity and reduces disparities. Also, offering voluntary participation for groups outside traditional employment structures ensures flexibility and wider participation.
Another key learning point is about modernization, digitalization, and data. Adopting advanced digital platforms facilitates efficient registration, seamless service delivery, and improved accessibility for beneficiaries in remote areas. Using real-time data collection and analysis supports informed decision-making and agile responses to emerging challenges.
Finally, stakeholder collaboration and public outreach are crucial elements of success. Oman’s collaboration between government, private, and civil society stakeholders highlights the importance of collective efforts in designing inclusive and effective reforms. Engaging communities through awareness campaigns fosters trust and ensures smooth implementation of reforms.
The Sultan of Oman H.M. Haitham bin Tarik, issued on 19 July 2023 Royal Decree No. 52/2023 promulgating the Social Protection Law. The newly approved legislation, developed with the support of the ILO, radically reshapes the social protection system in the Sultanate and marks the culmination of an ambitious reform process led by Tawazun, the high-level government programme for fiscal balance (now Estidamah).
A forthcoming report prepared in collaboration between the Social Protection Fund and the ILO outlines key aspects of the reform trajectory and highlights its main achievements, which include:
• a comprehensive and adequate social protection system that integrates contributory and non-contributory instruments to address lifecycle risks and vulnerabilities effectively, leaving no one behind;
• a sustainable model for social protection financing that integrates resources from social contributions and general revenue to ensure solidarity and fairness, and contributes substantively to poverty, vulnerability,job-orientedTarik's and inequality reduction ( Continue)
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