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S&P Revises Oman’s Outlook to ‘Positive’

A coastal city in Oman. (Local sites)
A coastal city in Oman. (Local sites)
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S&P Revises Oman’s Outlook to ‘Positive’

A coastal city in Oman. (Local sites)
A coastal city in Oman. (Local sites)

S&P Global Ratings has revised Oman’s outlook to positive and affirmed its ratings at 'BB', in light of improving fiscal performance.

S&P said in its credit rating report on the Sultanate issued Saturday, that the revised outlook came as a result of the reform measures undertaken by the government in the financial and economic areas that may contribute to strengthening Oman’s fiscal position in a better way than the agency expects, adding a greater degree of resilience of the national economy against oil price shocks.

The steadily improving fiscal performance, underpinned by supportive policies and programs, was reflected in the significant reductions in public debts, the agency said.

This was also evident from the strong growth witnessed by the nominal GDP and the decline in total debt to GDP from more than 60 percent in 2021 to about 40 percent in 2022, it stated.

The agency added that the Sultanate is determined to continue improving its fiscal position, which will enhance its resilience against oil prices volatility.

According to S&P Global, Oman’s public debt is projected to decline to around 16.5 billion Omani riyal, representing 37 percent of the GDP by the end of this year. The diminishing public debt trend, coupled with financial surpluses expected during 2023 and 2024, will further improve Oman’s financial situation, it said.

In its report, the agency said that the government managed to rationalize public spending during 2022, despite the increase in oil revenues, as a result of the government's continued efforts to control public expenditure.

Oman has managed to reduce the public debt to 16.6 billion riyals during the first quarter of 2023.

Oman’s oil exports decreased by 6.9 percent to 49.713 million barrels at the end of February 2023, according to Oman News Agency.

Oil condensate production also increased by 3 percent, compared to the same period in 2022, to around 62.75 million barrels during the same period.

The data indicated that the domestic production of natural gas in Oman increased by 10.3 percent on an annual basis, reaching 8.5 billion cubic meters.

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Putin Says Recession in Russia 'Must Not Be Allowed to Happen'

Putin wants officials to keep a 'close eye on all indicators of the health of our industries, companies and even individual enterprises'. Olga MALTSEVA / AFP
Putin wants officials to keep a 'close eye on all indicators of the health of our industries, companies and even individual enterprises'. Olga MALTSEVA / AFP
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Putin Says Recession in Russia 'Must Not Be Allowed to Happen'

Putin wants officials to keep a 'close eye on all indicators of the health of our industries, companies and even individual enterprises'. Olga MALTSEVA / AFP
Putin wants officials to keep a 'close eye on all indicators of the health of our industries, companies and even individual enterprises'. Olga MALTSEVA / AFP

President Vladimir Putin on Friday urged officials not to let Russia fall into recession "under any circumstances", as some in his own government warned of a hit to economic growth.

Economists have warned for months of a slowdown in the Russian economy, with the country posting its slowest quarterly expansion in two years for the first quarter of 2025, reported AFP.

The Kremlin has said this was to be expected after two years of rapid growth as it ramped up military expenditure to fund the Ukraine campaign, but officials including the country's economy minister have raised alarm about possible pain ahead.

"Some specialists and experts are pointing to the risks of stagnation and even a recession," Putin told attendees at Russia's flagship economic forum in Saint Petersburg.

"This must not be allowed to happen under any circumstances," he said.

"We need to pursue a competent, well-thought-out budgetary, tax and monetary policy," he added.

The Russian economy grew in 2023 and 2024 despite the West's sweeping sanctions, with massive state spending on the military powering a robust expansion.

But analysts have long warned that heavy public investment in the defense industry is no longer enough to keep Russia's economy growing and does not reflect a real increase in productivity.

At his address to the forum on Friday, Putin was upbeat about Russia's economic prospects and denied the economy was being driven solely by the defense and energy industries.

"Yes, of course, the defense industry played its part in this regard, but so did the financial and IT industries," he said.

He said the economy needed "balanced growth" and called on officials to keep a "close eye on all indicators of the health of our industries, companies and even individual enterprises."