Ethics Control Blog | Ethicontrol

Whistleblowing in Oman: Navigating policies, protections, and legal gaps

Written by Saman Saberi | 15/05/25 07:00

Whistleblowing plays a critical role in exposing corruption, fraud, and other forms of misconduct within organizations and government institutions. Many countries have introduced dedicated legal frameworks to protect whistleblowers, ensuring that individuals who report wrongdoing are shielded from retaliation and legal repercussions.

However, in Oman, no single law explicitly defines whistleblower protections or guarantees immunity for those who come forward. Instead, the country relies on a combination of sector-specific regulations, corporate policies, and broader anti-corruption laws to encourage reporting and uphold ethical standards.

 

Existing Frameworks That Indirectly Support Whistleblowers

 

 

Despite the absence of a dedicated whistleblower protection law, Oman has made efforts to combat corruption and financial crimes through various legal instruments.

The Omani Penal Code (Royal Decree No. 7/2018) criminalizes bribery, abuse of power, and other forms of corruption, establishing a legal obligation for individuals and businesses to act ethically.

Similarly, Royal Decree No. 112/2011 on the Protection of Public Funds and Avoidance of Conflicts of Interest requires public officials to disclose financial misconduct and prevent conflicts of interest in government dealings. While these laws establish penalties for corrupt practices, they do not offer explicit legal protection for whistleblowers who disclose wrongdoing.

In certain sectors, particularly finance, banking, and corporate governance, regulators have introduced internal reporting mechanisms aimed at encouraging employees to report unethical behavior.

The Capital Market Authority (CMA) requires publicly listed companies and financial institutions to implement internal whistleblowing policies as part of corporate governance best practices. The Central Bank of Oman (CBO) also mandates financial institutions to establish confidential reporting channels for fraud and misconduct.

However, these sector-specific regulations focus primarily on ensuring companies have reporting mechanisms in place rather than providing comprehensive protections against retaliation. This creates a significant gap, as whistleblowers in these industries may still face employment consequences or legal risks when reporting misconduct.

Multinational corporations and organizations operating in Oman, particularly those with compliance obligations under international anti-corruption laws such as the U.S. Foreign Corrupt Practices Act (FCPA) and the UK Bribery Act, often implement internal whistleblower policies that align with global best practices. These policies typically include anonymous reporting options, protections against retaliation, and clear procedures for investigating complaints.

However, these measures are company-specific and not enforceable under Omani law, meaning that employees in locally owned or smaller businesses may not have access to similar protections.

 

Challenges and Risks Faced by Whistleblowers in Oman

 

The absence of a formal whistleblower protection law in Oman presents several challenges for individuals considering reporting misconduct. Without legal safeguards, whistleblowers risk losing their jobs, facing professional blacklisting, or being subjected to workplace harassment.

In some cases, individuals may even face legal consequences if their disclosures are perceived as defamatory or in violation of confidentiality agreements. The fear of retaliation and legal uncertainty deters many employees from coming forward, limiting the effectiveness of whistleblowing as a tool for corporate accountability and anti-corruption efforts.

Cultural and social factors also play a role in discouraging whistleblowing in Oman. Many workplaces, particularly in government and traditional business settings, operate within hierarchical structures where loyalty and discretion are highly valued.

Employees may hesitate to report misconduct due to concerns about damaging relationships with colleagues or supervisors. In the absence of strong legal protections, whistleblowers may feel isolated and vulnerable, leading many to stay silent rather than expose unethical behavior.

 

Global Trends and Potential Legal Reforms

 

 

There is growing momentum in the region for stronger whistleblower protections. Oman is a signatory to the United Nations Convention Against Corruption (UNCAC), which encourages countries to implement legal frameworks that protect individuals who report corruption. While Oman has taken steps to align its laws with international anti-corruption standards, there remains significant room for improvement in the area of whistleblower protection.

Other Gulf Cooperation Council (GCC) countries have already introduced reforms to strengthen protections for whistleblowers. Saudi Arabia, for example, has implemented whistleblower incentives and protections through its National Anti-Corruption Commission (Nazaha). The United Arab Emirates has integrated whistleblower provisions into its financial regulatory frameworks, particularly within the Dubai Financial Services Authority (DFSA).

Qatar has taken a more direct approach by enacting Law No. 13 of 2016 on Protecting Whistleblowers in Corruption Cases, which guarantees confidentiality and legal immunity for individuals who report corruption. These regional developments suggest that Oman may eventually follow suit by introducing a dedicated whistleblower protection law.

 

Key Considerations for Future Legal Reforms

 

For Oman to establish an effective whistleblower framework, several key elements would need to be considered. A dedicated whistleblower protection law should clearly define the rights and responsibilities of whistleblowers, establish legal immunity for individuals who report wrongdoing in good faith, and introduce penalties for employers who retaliate against whistleblowers.

The law should also ensure that whistleblowers have access to anonymous reporting channels and clear legal pathways to seek protection if they experience retaliation. Additionally, enforcement mechanisms should be put in place to ensure that reported misconduct is thoroughly investigated and that whistleblowers are not punished for coming forward.

Another important consideration is the role of regulatory agencies and oversight bodies in handling whistleblower reports. Oman could benefit from establishing an independent whistleblower protection authority responsible for receiving reports, investigating claims, and ensuring that whistleblowers are safeguarded from retaliation. In countries with strong whistleblower frameworks, such as the United States and the European Union, independent agencies play a critical role in ensuring that whistleblower protections are effectively enforced.

 

Conclusion

 

 

The introduction of whistleblower protections in Oman would not only strengthen the country’s corporate governance and anti-corruption measures but also enhance its reputation as a transparent and business-friendly jurisdiction. Strengthening legal protections for whistleblowers would encourage more individuals to come forward with information about financial crimes, regulatory violations, and ethical misconduct, ultimately improving the integrity of both public and private institutions.

Although Oman has made progress in promoting transparency and ethical business practices, the lack of a dedicated whistleblower protection law remains a significant gap in the country’s legal framework. Given the increasing emphasis on corporate accountability, anti-corruption compliance, and international legal obligations, it is likely that Oman will eventually need to address this issue through legislative reform.

Whether this takes the form of a standalone whistleblower protection law or amendments to existing anti-corruption regulations, stronger protections would create a safer environment for whistleblowers and contribute to a more transparent and accountable business and governance landscape.

As Oman continues its economic diversification and modernization efforts, ensuring that whistleblowers are protected from retaliation should be a priority for policymakers. The adoption of comprehensive whistleblower protections would not only align Oman with international anti-corruption standards but also foster a more ethical and accountable corporate culture. For businesses, regulators, and government institutions alike, the benefits of protecting whistleblowers far outweigh the risks, making this an issue that deserves serious consideration.