3 per cent growth likely in 2018
His Majesty Sultan Qaboos on Monday ratified Budget 2018. With several measures to boost the economy and enhance the welfare of citizens, Oman’s Ministry of Finance unveiled the Budget 2018 with a public spending outlay of RO 12.5 billion on Monday.
While the budget forecasts over three per cent GDP growth in the year ahead, it targets a revenue of RO 9.5 billion, an increase of three per cent, or RO 800 million, over fiscal year 2017 and a deficit of RO 3 billion.
Oil sector will account for 70 per cent of the total revenue, while the remaining 30 per cent is expected to come from non-oil sectors.
This will consist of RO 6.78 billion from oil and gas, representing 70 per cent, and RO 2.72 billion, or 30 per cent, from non-oil sector.
The deficit, which is 10 per cent of the GDP, will be financed through internal and external borrowings.
The Omani economy is projected to grow a heartening, if modest, three per cent in 2018, buoyed by gradually rebounding oil prices, intensifying economic diversification efforts, and a reinvigorated investment environment.
This was revealed at a prebudget briefing hosted by the Government Communications Centre for leading Omani business personalities, economists and select media personnel on Sunday. P13
“The 2018 Budget includes a set of stimulus and precautionary measures with respect to revenues and spending,” said a statement from the Ministry of Finance.
The budget is keen to maintain the consistency and harmonisation between various allocations and general objectives of the Ninth FiveYear Development Plan as well as the initiatives or projects of Tanfeedh.
“This shall lead to achieving the objectives of Oman Vision 2020, and paving the way for Oman Vision 2040,” said the statement.
It said, “Oman has made remarkable achievements in areas such as health, education, housing, basic services and infrastructure, which uplifted the citizens’ standards of living to higher levels. Hence, the budget quest to maintain the achievements.”
Education, health, housing and