FINANCIAL NEWS

Oman’s fiscal deficit to expand at 12 percent of GDP

22 Jan 2016

(MENAFN) Oman’s very high economic dependence on gas sector is going to add pressure to the public finance in 2015-16, although it has an ongoing solid economic development.

Meanwhile, the country’s fiscal deficit is forecasted to expand at around 12 percent of GDP from this year onwards, as hydrocarbon-related government income drops by more than 40 percent this year.

Additionally, driven by the pressure on the oil and gas sector, GDP improvement will slow to around 3 percent over 2015-16, a decline from the 4.9 percent average amid 2005-14.

However, Oman’s high domestic savings and healthy banking sector will continue to bring stable funding for the government, therefore liquidity risk is unlikely to notably affect government debt sustainability.

More News

This website uses cookies to ensure you get the best experience and by clicking “I Accept” below, you consent to the use of cookies. Learn more

This site is registered on wpml.org as a development site.