Oman repays $2.9bln in loans in Q1 – finance ministry

Oman repays $2.9bln in loans in Q1 – finance ministry

DUBAI - 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, among the weaker economies of the Gulf region, repaid the debt through increased government revenue on the back of higher oil prices, the fiscal performance bulletin said.

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 over $81 per barrel at the end of February 2022.

Increased production combined with higher oil prices led to a budget surplus of 372 million rials at the end of February, up from 210 million rials in the prior year period, while total revenue jumped 12% and spending was 4% higher.

Oil and gas revenue represented almost 80% of total public revenue, the finance ministry said, making Oman more vulnerable to global swings in oil prices.

Earlier this month, Oman agreed to a voluntary oil output cut of 40,000 barrels per day starting from May until the end of 2023, along