The global ratings agency said that the Omani government is reforming its budget, and that “debt repayment and the strength of nominal GDP have reduced the total debt ratio to 40 percent of GDP in 2022.”
Standard & Poor’s expects that the momentum in the Omani government’s reforms to the budget and economy will continue in the period between 2023 and 2026.
It also expected Oman’s real GDP to grow by about 2.5 percent annually, on average, between 2023-2026.
And the Sultanate of Oman had announced before the end of March that the government had directed the financial surpluses achieved to reduce public debt by about 1.1 billion Omani riyals ($2.86 billion) by the end of March 2023 without resorting to re-borrowing, thus reducing the volume of debt to about 16.6 billion Omani riyals.
The Omani Ministry of Finance added that the measures taken will lead to achieving more savings in the cost of public debt and the benefits accruing from financing, estimated at RO 385 million, by calculating the periods of financing segments, and not resorting to borrowing for refinancing.
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