Virus-hit Gulf has little room to boost revenue after oil price shock

Virus-hit Gulf has little room to boost revenue after oil price shock

Qatar has a fiscal surplus and its economy is dependent on liquefied natural gas exports, so less directly affected by oil prices, while the debt-burdened economies of small oil producers Oman and Bahrain are more vulnerable to price swings.. Crude prices of between $30 to $40 a barrel this year could cost Gulf producers tens of billions of dollars in revenues.. Saudi Arabia could see its 2020 deficit widen to 16.1% from a previous projection of 6.4% if oil prices average $40, according to Arqaam.. Unlike its smaller neighbors, the world's top oil exporter can partly offset the drop in prices by ramping up production.. Fiscal discipline slipped in recent years as oil prices recovered and governments prioritized economic growth.. To avoid painful measures, governments could increase borrowing or raise cash by selling assets.. Egypt suspends schools for two weeks, announces LE100 billion plan against coronavirus.