22/10/2017 06:21 AST

Oman’s economy has achieved a robust 12.3 per cent growth rate to OMR13,001.4 million for the first half of 2017, mainly driven by a marked growth in crude oil prices in the international market and prudent fiscal policies of the government.

The average price of Oman Crude surged ahead by 35.4 per cent to $51 per barrel for the January to August period of 2017, against $37.6 a barrel for the same period of 2016, shows a monthly report released by National Centre for Statistics and Information (NCSI).

With an increase in crude oil prices, the economy started gaining strength since the beginning of this year, reversing a slackness witnessed during the previous two years.

The oil sector’s gross domestic product (GDP) grew by 34.9 per cent to OMR4,229.3 million in the first half, whereas the non-oil sector edged up by only 3.8 per cent to OMR9,134.7 million.

But the total production of crude oil in Oman fell by 3.9 per cent to 235.33 million barrels for the first eight months between January and August, against 244.79 million barrels of crude oil for the same period of last year.

Crude oil sector contribution alone soared by 42.3 per cent to OMR3,583.8 million for the first half between January and June, against OMR2,518.9 million for the same period of last year. The non-oil sector’s GDP grew by 3.8 per cent to OMR9,134.7 million during the January to June period of this year, from OMR8,798.3 million for the corresponding period of last year. Non-oil GDP was mainly driven by a surge in basic chemicals and mining activities, said the report.

Deficit narrows down

The budget deficit for the first eight months between January and August showed a marked fall of 36.5 per cent to OMR2,776.4 million, against OMR4,371.6 million, added the report. An increase in revenue and austerity measures helped the government contain the budget deficit, said a market analyst, who preferred anonymity.

The government revenue increased by 25.8 per cent to OMR5,366.3 million for the first eight months, from OMR4,267.4 million for the same period of last year. Net oil revenue alone rose by 39.3 per cent to OMR2,960.8 million for the January to August period of this year.

Also, public expenditure edged down 1.3 per cent to OMR7,342.7 million from OMR7,439 million during the period under review. Of this, current expenditure moved up by 1.2 per cent to OMR5,233 million, while investment expenditure declined by 3.9 per cent to OMR1,758.7 million during the first eight months of 2017.

Times of Oman

Ticker Price Volume
QNBK 195.00 241,526
JARIR 154.40 89,382
APPC 53.30 133,976
SAICO 11.92 520,367
SABIC 119.80 1,240,718
ALMARAI 50.90 239,969
CATERING 87.00 41,387
Arab Strategy Forum 2018 to kick off Dec.12 in Dubai


The Arab Strategy Forum (ASF), taking place under the patronage of Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, on Monday announced the deta

Saudi Gazette

Oman’s retail sector expected to expand 9.3% in five years


Retail sales across four Gulf countries are projected to increase by more than US$24 billion over the next five years, with Oman’s retail industry expected to rise 9.3 per cent during that period, ac

Times of Oman

CBO becomes full member of Islamic Financial Services Board


The Central Bank of Oman (CBO) has confirmed that it has become a full member of the Islamic Financial Services Board (IFSB), an international organisation that promotes sound Islamic banking and set

Times of Oman

Oman Post embarks on journey of transformation


In line with the national logistics strategy to position the Sultanate as a leading trade and logistics hub, Oman Post is organising the first edition of the Oman Post Forum 2018 at the Sultan Qaboos

Oman Daily Observer

Saudi Arabia said to be reviewing expat fees as economy feels sting


Saudi Arabia is reviewing its policy of imposing fees on expatriate workers after rising costs inflicted economic pain and contributed to an exodus of foreigners, according to four people familiar wi

Gulf News