This study aims to explore the different historical phases of education development in the period spanning from 1888 to 1970. The study talks about the schools that existed during the period of study and discusses the nature of the educational system in each phase starting from teaching Quran in the Katateeb and ending with modern education. The study also sheds light on the educational role of the Arabian Mission in Muscat and Muttrah since its foundation until 1970 and explores the different means which the residents of Muscat and Muttrah resorted to in order to continue their education abroad. The study employs a descriptive historical methodology in discussing the elements of education for each phase, such as schools and the nature of the educational scheme. An analytic induction approach is also followed to study, analyse and criticize documents, texts and oral narratives. Besides, a qualitative approach is applied in studying and analysing the statistical data to be used in the study as required. This study is divided into an introduction, four chapters and a conclusion. The first chapter discusses the status of education in Oman from the second half of the eighteenth century to the end of the nineteenth century. It also talks about the cities of Muscat and Muttrah with regards to their political and administrative importance as well as their financial and social conditions just before the period of study. This chapter also covers the status of education in Oman from the beginning of the Al Busaidi reign to 1888. The second chapter is dedicated to talk about the educational role of the Arabian Mission in Muscat and Muttrah in terms of the nature of the educational system and the schools the Mission founded. The third chapter focuses on the religious and government education. It talks about the religious schools established in Muscat and Muttrah, the early governmental efforts in education dating back to 1914, the historical phases through which education developed in both cities as well as the nature of the educational system in each phase. The fourth chapter discusses the non-governmental education in Muscat and Muttrah with a particular focus on the society-led education for which Muttrah was distinguished over Muscat. This chapter explains also how the residents of the two cities pursued further education abroad as the education provided in both cities was only to the sixth elementary class. A number of important findings have emerged from this study. The study has revealed the possible reasons why education did not improve in Muscat and Muttrah as it remained restricted to the elementary classes since its inception in 1940 until 1970. The study also identifies that the Arabian Mission in Muscat and Muttrah provided a variety of educational activities that were mainly executed for missionary purposes as depicted in the reports and works of the Mission staff. It has also emphasised how the communities of both cities had shown a high level of religious and sectarian tolerance in education. While the Shafi'i school in Muscat taught the Shafi'i jurisprudence, the school at Masjid al Khour taught the Ibadi jurisprudence. In Muttrah, the society-led schools taught the Twelver Imamiyyah jurisprudence. The non-Muslim Indian group (called the Banyan) had their own schools in each of the two cities. Finally, the study managed to identify the names, dates and nature of the educational systems of the society-led schools which existed in Muttrah. Such phenomena was unique enough to distinguish Muttrah from Muscat.