• 4 minutes Projection Of Experts: Oil Prices Expected To Stay Anchored Around $65-70 Through 2023
  • 7 minutes Oil prices forecast
  • 11 minutes Algorithms Taking Over Oil Fields
  • 14 mintues NIGERIAN CRUDE OIL
  • 2 hours UK, Stay in EU, Says Tusk
  • 6 hours Socialists want to exorcise the O&G demon by 2030
  • 43 mins How Is Greenland Dealing With Climate Change?
  • 3 hours Blame Oil Price or EVs for Car Market Crash? Auto Recession Has Started
  • 4 hours Venezuela continues to sink in misery
  • 57 mins German Carmakers Warning: Hard Brexit Would Be "Fatal"
  • 3 hours WSJ: Gun Ownership on Rise in Europe After Terror Attacks, Sexual Assaults
  • 1 day Regular Gas dropped to $2.21 per gallon today
  • 1 day China Car Sales Plummet: Can Musk Unshovel His Groundbreaking?
  • 1 day BofA Sees Oil at $35-70
  • 4 hours Trump inclined to declare national emergency if talks continue to stall - Twitter hides this as "sensitive material"
  • 9 hours Orphan Wells
  • 11 hours Solid-State Batteries
Oil Stabilizes As OPEC Implements Cuts

Oil Stabilizes As OPEC Implements Cuts

The oil rally slowed down…

Can The U.S. Keep Its Nuclear Industry Afloat?

Can The U.S. Keep Its Nuclear Industry Afloat?

The United States is severely…

Oman To Sell $2 billion In Islamic Bonds To Close Oil Crisis Budget Deficit

Muscat

Low oil revenues are prompting the government of Oman to sell $2 billion in Islamic bonds to raise funds for the national budget, according to a new report by Bloomberg.

We are confident that our economy is heading in the right direction because the government has taken several measures for economic and fiscal reform,” Finance Minister Darwish Al Balushi said in Saudi Arabia. “These measures led to improvement in the fiscal situation and the government will continue to take more measures.”

The hole in Oman’s national budget will measure 12 percent of gross domestic product (GDP) this year, though forecasts predict the shortfall will decrease in coming years. Last year, the gap stood at a whopping 21 percent.

Muscat is also considering forging public-private partnerships to balance the cost burdens of nationalized industries hit by the 2.5-year oil price crisis. Oman plans to pump one million barrels per day on average this year.

The country said earlier this year that it would sell stakes in state-owned oil and gas downstream companies to prop up government finances, but these plans have been in the making for a few years now without concrete action, to the chagrin of international financial observers.

S&P Global Ratings lowered the monarchy’s credit rating from BBB- to BB+ last week, to which the finance minister had prepared a response.

“We respect the opinion of S&P as a professional entity, but at the same time we are confident of the strength of our economy and we trust that the international financial market has a lot of confidence in our economy," Al Balushi said. “It’s true that in the past two years part of our reserves was used to cover the deficit, however, our reserves are still in a comfortable position.”

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • Naomi on May 18 2017 said:
    Venezuelan bonds and Oman bonds should pay the same interest. Both have the same quality management and integrity.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News