Oman Air has ordered 20 B737 aircraft as part of a plan to double its fleet to 70 by 2020, chief executive Paul Gregorowitsch said.
The order includes both the current generation of 737s, which will be delivered from 2017, as well as the re-engined 737 Max aircraft that will come from 2019.
The airline has 36 aircraft, including 10 A330s and 21 B737s. This year, it will also receive the first two of nine B787s it has on order as well as six more B737s.
It also plans to choose between the 787 and the A330neo, the re-engined variant of the Airbus widebody planes, for its medium and long haul requirements. The airline will eventually have 25 narrowbody planes and 45 wide bodies by the end of the decade.
Oman Air is stepping up competition with European and Asian carriers. Earlier this month, it announced new service from Muscat to Singapore and Goa, India. Last year it began service to Manila and Jakarta.