Higher revenues reduce Oman’s deficit by 36% in first nine months of 2018
Oman’s budget deficit dropped 36.1 per cent to RO1.91bn during January-September period of 2018 due to a surge in government revenues driven by higher oil income.
The sultanate’s budget deficit for the same period of 2017 was much higher at RO3bn, according to the latest statistics released by the National Centre for Statistics and Information (NCSI).
Total revenues of the government surged 29.9 per cent to RO7.75bn in the first nine months of this year over the same period of last year, thanks to a major recovery in oil prices. As a result of rise in oil prices, Oman’s net oil revenue jumped 44 per cent to RO4.76bn during January-September period of 2018 compared to RO3.3bn recorded in the same period of last year, the NCSI data showed.
Revenue from natural gas rose 26.2 per cent to RO1.38bn, while customs duty and corporate income tax contributed RO173.2mn and RO415.5mn, respectively, to total revenues during the first nine months of 2018. In addition, capital revenue jumped to RO117mn, registering a growth of 786.4 per cent.
Total public expenditure increased 7.8 per cent to RO9.09bn for the first nine months of 2018 against RO8.43bn for the same period of last year. Of the total expenditure, current expenditure rose 9.5 per cent to RO6.62bn while investment expenditure decreased 5.8 per cent to RO1.91bn.
Expenditure in participation and support category surged 57.6 per cent this year to RO559.1mn from RO354.8mn for the same period of last year.
Omani government’s total public expenditure in the year 2017 stood at RO12.27bn, with a total revenue of RO8.51bn, leaving a deficit of RO3.75bn.