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FINANCIAL NEWS
Oman to fill 2012 budget gap on higher-than-expected oil prices
05 Jul 2012
(MENAFN) Oman Finance Ministry expected oil prices to fill the Sultanate’s USD3.1 billion budget gap this year, Reuters reported.
A ministry’s official said that the Gulf country sold its crude oil at 50 percent higher than the price it was projected for the 2012 budget, boosting revenues beyond expectations.
The Sultanate’s 2012 budget plan is based on an oil price of USD75 per barrel, with expenditure projected at USD25.9 billion and revenue at USD22.8 billion.
Oman sold its oil at an average price of USD115 per barrel during the January-May period, pushing revenues slightly exceeding USD13 billion.
Oman, a small non-OPEC oil exporter, recorded a USD3.9 billion budget surplus during the first four months of the year.
In December 2011, the International Monetary Fund (IMF) predicted Oman’s budget break-even oil price would be USD81 per barrel this year. The level, however, is expected to rise to USD105 by 2016.
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