Oman cuts 2016 spending in light of lower oil pricesStaff writer ▼ | January 4, 2016
Oman will cut spending this year by 15.6 percent in the face of lower oil prices but still face a huge deficit after posting one in 2015, Finance Minister Darweesh al-Bloushi said.
Oman Spending is projected at $30.9 billion
Revenues are projected at 8.6 billion riyals ($22.3 billion), down a massive 26 percent from 2015, resulting in a deficit of $8.6 billion, said the statement cited by the official ONA news agency. Oman’s deficit last year was $11.7 billion.
Gulf states have been hit hard by a cash crunch due to a 65-percent drop in oil prices since June 2014. Saudi Arabia announced a record-high $98-billion budget deficit over this year.
Most of them have introduced austerity measures, and Oman said on December 30 it has decided a series of measures to boost non-oil revenues. ■