Oman’s improved credit rating reflection of robust economic policies

Oman’s improved credit rating reflection of robust economic policies

The significant improvement in Oman's credit rating is testament to the government's effective measures to diversify the economy.Muscat – Oman’s credit rating has shown significant improvement, a testament to the government’s effective measures to enhance public financial management and diversify economic revenue streams beyond oil. This development has been acknowledged by various international credit rating agencies, including S&P Global, which recently revised its outlook on Oman to ‘positive’ from ‘stable’.

At the same time, the rating agency affirmed its ‘BB+/B’ long- and short-term foreign and local currency sovereign credit ratings on the sultanate.

Mohammed bin Abu Bakr al Ghassani, Chairman of Board of Directors of Development Bank, attributed this positive shift to concerted efforts by the government to optimise public expenditure and maximise financial revenues, alongside a strategic reduction of public debt, particularly those with higher costs. “The upgrade in our credit rating is a direct result of the effective financial and economic policies implemented as part of our financial sustainability programme to address sudden economic challenges and bolster economic growth.”

Ghassani emphasised that the enhanced credit rating is a crucial indicator of the growing confidence among investors and lenders in Oman’s economy and banking sector. This improvement paves the way for Oman