• 2 days Shell Oil Trading Head Steps Down After 29 Years
  • 2 days Higher Oil Prices Reduce North American Oil Bankruptcies
  • 2 days Statoil To Boost Exploration Drilling Offshore Norway In 2018
  • 2 days $1.6 Billion Canadian-US Hydropower Project Approved
  • 2 days Venezuela Officially In Default
  • 2 days Iran Prepares To Export LNG To Boost Trade Relations
  • 2 days Keystone Pipeline Leaks 5,000 Barrels Into Farmland
  • 3 days Saudi Oil Minister: Markets Will Not Rebalance By March
  • 3 days Obscure Dutch Firm Wins Venezuelan Oil Block As Debt Tensions Mount
  • 3 days Rosneft Announces Completion Of World’s Longest Well
  • 3 days Ecuador Won’t Ask Exemption From OPEC Oil Production Cuts
  • 3 days Norway’s $1 Trillion Wealth Fund Proposes To Ditch Oil Stocks
  • 3 days Ecuador Seeks To Clear Schlumberger Debt By End-November
  • 3 days Santos Admits It Rejected $7.2B Takeover Bid
  • 4 days U.S. Senate Panel Votes To Open Alaskan Refuge To Drilling
  • 4 days Africa’s Richest Woman Fired From Sonangol
  • 4 days Oil And Gas M&A Deal Appetite Highest Since 2013
  • 4 days Russian Hackers Target British Energy Industry
  • 4 days Venezuela Signs $3.15B Debt Restructuring Deal With Russia
  • 4 days DOJ: Protestors Interfering With Pipeline Construction Will Be Prosecuted
  • 4 days Lower Oil Prices Benefit European Refiners
  • 4 days World’s Biggest Private Equity Firm Raises $1 Billion To Invest In Oil
  • 5 days Oil Prices Tank After API Reports Strong Build In Crude Inventories
  • 5 days Iraq Oil Revenue Not Enough For Sustainable Development
  • 5 days Sudan In Talks With Foreign Oil Firms To Boost Crude Production
  • 5 days Shell: Four Oil Platforms Shut In Gulf Of Mexico After Fire
  • 5 days OPEC To Recruit New Members To Fight Market Imbalance
  • 5 days Green Groups Want Norway’s Arctic Oil Drilling Licenses Canceled
  • 6 days Venezuelan Oil Output Drops To Lowest In 28 Years
  • 6 days Shale Production Rises By 80,000 BPD In Latest EIA Forecasts
  • 6 days GE Considers Selling Baker Hughes Assets
  • 6 days Eni To Address Barents Sea Regulatory Breaches By Dec 11
  • 6 days Saudi Aramco To Invest $300 Billion In Upstream Projects
  • 6 days Aramco To List Shares In Hong Kong ‘For Sure’
  • 6 days BP CEO Sees Venezuela As Oil’s Wildcard
  • 6 days Iran Denies Involvement In Bahrain Oil Pipeline Blast
  • 9 days The Oil Rig Drilling 10 Miles Under The Sea
  • 9 days Baghdad Agrees To Ship Kirkuk Oil To Iran
  • 9 days Another Group Joins Niger Delta Avengers’ Ceasefire Boycott
  • 9 days Italy Looks To Phase Out Coal-Fired Electricity By 2025
Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

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