Muscat: The Fitch Credit Agency reaffirmed Oman’s credit status at ‘BB-‘ level, the same standing as before.

This comes in light of the strict circumstances being faced by Oman’s economy and, the stress of the COVID – 19 pandemic. The international financial rating powerhouse indicated that the medium-term fiscal plan that the Omani government started to implement, has contributed to the improvement of Oman’s financial position and that, the financial impact of the plan snowballs to RO 4.7 Billion by 2024, which accounts for a staggering 15% of the GDP.

It further stated in the report that, the deficit of Oman is expected to decline to 6.1% of the total GDP, by 2021. With respect to the economic growth rate, the report stated, “We expect growth to strengthen in 2022, to 3.3%, with higher average oil production and greater post-pandemic normalization, before slower growth in 2023-2024 amid ongoing fiscal austerity” thus, acknowledging that the growth in oil production till pre – COVID levels will drive a major chunk of the impetus, before an anticipated slowdown again in 2023 – 24. The report forecasted a decline in the previous non-oil deficit from 40% to 25% amidst the ongoing implementation of measures towards rationalization of spending and fiscal sustainability, at current rates.