Oman repays $2.9 billion in loans in Q1

Oman repays $2.9 billion in loans in Q1

Total debt was 17.7 billion rials at the end of 2022

A view of Muscat. On Tuesday, Fitch revised Oman’s outlook to positive from stable. - KT file

By Reuters Published: Tue 11 Apr 2023, 5:20 PM

Oman repaid 1.1 billion rials ($2.86 billion) in loans in the first quarter, finance ministry figures show, bringing total public debt at the end of March to 16.6 billion rials.

Total debt was 17.7 billion rials at the end of 2022.

Oman repaid the debt through increased government revenue on the back of higher oil prices, the fiscal performance bulletin said.

A steep decline in Oman’s debt to GDP ratio, with gross debt falling to about 40 per cent of GDP in 2022 from around 60 per cent the previous year, plus higher oil prices and more disciplined public spending has prompted ratings agencies to upgrade the Gulf state’s credit rating outlook.

On Tuesday, Fitch revised Oman’s outlook to positive from stable and reaffirmed its rating at BB, following a similar action from S&P earlier this month.

Net oil revenue reached 1.15 billion rials at the end of February, up from 1.09 billion rials in the same period a year ago, as oil prices averaged $86 per barrel in the period