عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Oman's Budget Records Surplus of Almost $1Bn

Oman's state budget recorded a surplus of $928 million at the end of the first quarter of 2022. (Asharq Al-Awsat)
Oman's state budget recorded a surplus of $928 million at the end of the first quarter of 2022. (Asharq Al-Awsat)
TT
20
TT

Oman's Budget Records Surplus of Almost $1Bn

Oman's state budget recorded a surplus of $928 million at the end of the first quarter of 2022. (Asharq Al-Awsat)
Oman's state budget recorded a surplus of $928 million at the end of the first quarter of 2022. (Asharq Al-Awsat)

Oman's state budget recorded a surplus of $928 million at the end of the first quarter of 2022.

The Finance Ministry announced the surplus would be used to accelerate economic recovery, enhance development expenditure, and reduce the risks of the country's public debt portfolio.

As of the end-first quarter of 2022, public revenue amounted to OMR3.025 billion, up by 66.3 percent compared to the same quarter in 2021, according to the monthly bulletin of the Ministry of Finance.

The monthly bulletin issued by the Ministry of Finance indicated that, until the end of the first quarter of 2022, the state's public revenues increased by 66.3 percent, to a record $8.45 billion compared to $4.3 billion revenues collected in the same period in 2021.

The ministry said net oil revenue was $4 billion at the end of the first quarter, up by 70.2 percent from the same period a year earlier.

The increased oil revenues were driven by a hike in average oil prices, which rose to $78 a barrel, as well as increased oil production at the rate of 1.025 million barrels a day, compared to the average oil price of $45 a barrel for the same period in 2021.

The data showed that Oman also recorded a more than doubling of gas revenue in the first quarter.

Gas revenues rose 124.4 percent, compared to the same period in 2021, due to the rise in gas prices and production increases.

Current revenues increased by 23.7 percent, compared to the same period in 2021, due to the inflows from the value-added tax, excise tax, and improved collection of government revenues.

Total public spending until the end of the first quarter of 2022 amounted to about $6.7 billion, recording a 3.8 percent increase over actual expenditures for the same period in 2021.

The development expenditure of civil ministries and allied organizations rose 130.8 percent during the first quarter of 2022 to reach $390 million, compared to the same period in 2021. This amount represents 13.6 percent of the development budget of $2.86 billion allocated in 2022.

Contributions and other expenses accounted for another $465 million, including $130 million for public debt service.

By the end of the first quarter of 2022, the Ministry of Finance paid the private sector $380 million, reflecting the payment vouchers received through the e-financial system, those that have completed the documentary cycle.

Most Viewed

 
Business

Saudi Arabia’s Non-Oil Industrial Sector Grows 5.3% in 2024

Saudi flags along a street in the capital, Riyadh (Reuters) 
Saudi flags along a street in the capital, Riyadh (Reuters) 
TT
20
TT

Saudi Arabia’s Non-Oil Industrial Sector Grows 5.3% in 2024

Saudi flags along a street in the capital, Riyadh (Reuters) 
Saudi flags along a street in the capital, Riyadh (Reuters) 

Saudi Arabia’s non-oil industrial sector recorded a strong 5.3% growth in 2024, underlining the Kingdom’s ongoing progress in diversifying its economy in line with the Vision 2030 agenda. The latest figures from the General Authority for Statistics (GASTAT) reveal that this growth was largely driven by manufacturing, utilities, and infrastructure development.

Despite the robust performance of the non-oil sector, overall industrial production declined by 2.3% compared to 2023. This contraction was mainly due to a 5.2% drop in oil-related activities, following the Kingdom’s adherence to OPEC+ oil production cuts. As a result, mining and quarrying shrunk by 6.8%.

Manufacturing expanded by 4.7% year-on-year, with food production up 6.2% and chemical manufacturing, including refined petroleum products, rising by 2.8%. These gains reflect increasing industrial capacity and rising demand in both domestic and export markets.

Other areas of growth included utilities and public services. Electricity, gas, steam, and air conditioning activities grew by 3.5%, while water supply, sewage, and waste management services posted a 1.6% increase.

Minister of Economy and Planning Faisal Alibrahim recently stated that non-oil activities now account for 53% of the Kingdom’s real GDP, compared to significantly lower levels before the launch of Vision 2030. He also noted a 70% increase in private investment in non-oil sectors over the same period.

The Kingdom’s non-oil exports reached SAR 515 billion (approximately $137 billion) in 2024, marking a 13% rise over 2023 and a 113% increase since 2016. Export growth spanned petrochemical and non-petrochemical products, with merchandise exports alone totaling SAR 217 billion.

According to a recent World Bank report, Saudi Arabia’s economy grew by 1.8% in 2024, up from 0.3% in 2023. While oil-sector output fell 3%, the non-oil economy expanded by 3.7%, cushioning the broader economy from energy market volatility. The World Bank forecasts continued growth, projecting a 2.8% increase in 2025 and an average of 4.6% annually through 2026 and 2027.