The main objective of the study is to identify the relationship of intellectual capital with institutional innovation at the Ministry of Culture, sports and Youth ? in Sultanate of Oman. The researcher relied on the mixed explanatory method. He used the questionnaire as a tool to collect data related to the study of relationship between practices of intellectual capital and the institutional innovation in the Ministry of Culture, Sports and Youth, in its administrative work of the sport, while he used the interview as a tool to collect data to identify the reality of practices of both intellectual capital and institutional innovation at the Ministry of Culture, Sports and Youth ? in Sultanate of Oman in its administrative work in sports. The sample study consisted of (62) individuals from leading departments, and (116) individuals of the employees ? study sample ? at the Ministry of Culture, Sports and Youth in Sultanate of Oman ? in its administrative work at sport side. The total number of study sample was (178) individuals. Whereas, (13) individuals from leadership departments of the research sample were interviewed at the Ministry of Culture, Sports, and Youth in Sultanate of Oman- in its management of the sport side. The researcher used Statistical Package for the Social Sciences (SPSS) to analyze the results of the questionnaire. He also, analyzed the content to access the results of the personal interviews. In addition to that, the analysis of the documents related to research variables at the Ministry of Culture, Sports, and Youth ? in Sultanate of Oman in its management of the sports aspects. The study found that there is a strong positive relationship between the practices of intellectual capital and the institutional innovation, as well as the results of each of the practices of intellectual capital and its axis (Human, Structural and relationships) and the institutional innovation practices and its axis (culture and innovation environment, innovation strategies, innovation practices, innovation skills) were at an average level. The study also concluded that there are no statistically significant differences between the average responses of the sample members in the practices of both intellectual capital and institutional innovation due to the variable (years of experience). The study also found that there are statistically significant differences between the average responses of the sample members in both intellectual capital practices and institutional innovation due to a variable (academic qualification).