Pandemic pushes down outward remittances from Oman to lowest since 2013

Pandemic pushes down outward remittances from Oman to lowest since 2013

Workers remitted OMR 3. 373bn to their friends and families in 2020, reveals the 2020 Annual Report released by CBO. The last time the figures were lower than this amount was in 2012, when a total amount of OMR3. 109bn was sent home. Remittance figures were on a rise after 2012, climbing to OMR3. 501bn in 2013, OMR3. 961bn in 2014, and OMR4. 226bn in 2015, before dipping to OMR3. 965bn in 2016 and OMR3. 774bn in 2017. Remittances rose slightly in 2018 to reach OMR3. 829bn, before falling to OMR3. 512bn in 2019. "The external sector showed deterioration during 2020 with a spike in the current account deficit (CAD)," read the report. "Merchandise exports contracted sharply during 2020 primarily due to a decline in oil prices, even as re-exports surged during the year. Merchandise imports also declined during the year but at a slower pace than exports, leading to a notable reduction in trade surplus. "The services account deficit saw an improvement during the year reflecting lower demand for imported services like travel," added CBO. "The current transfers consisting mainly of workers remittance, however, declined amidst stagnant wages and falling expatriate population, providing some cushion to external sector management."