On Tuesday 1 January, Oman revealed its 2019 budget. Total projected spending will amount to 12.9 billion Omani Rials, an increase of 3% against the previous year budget. Revenues are estimated at 10.1 billion Omani Rials, leaving a budget deficit of 2.8 billion Omani Rials, which will be 9% of the projected GDP. GDP is budgeted to grow at a rate of 3%.
This year’s budget is based on an oil price of US$58/bbl, which is higher than the price at the end of 2018 which was US$53/bbl and lower than the average realized price of oil which was US$68/bbl at the end of November 2018.
In our Budget Alert, we analyze the proposed measures in the budget as Oman seeks to grow its economy in a challenging economic environment.
For more information, or to discuss what the budget means for your business, please feel free to contact me or any of our team members.
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