Oman, 28 January, 2025 : Oman’s Budget 2025, published on January 5, aims to foster economic growth and stability while aligning with Vision 2040. The budget emphasizes diversification, with significant investments in tourism, manufacturing, renewable energy, and logistics. It also prioritizes education and healthcare to develop a skilled workforce for economic growth.
The budget seeks to increase the contribution of the non-oil sector, reduce reliance on oil revenue, and support fiscal stability. It aligns with the 10th Five-Year Plan, focusing on financial stability, urban development, and government subsidies for essential services. However, concerns over a 20% reduction in development expenditure compared to 2024 could hinder long-term growth.
Global oil price volatility, geopolitical tensions, and climate change pose challenges for the budget’s execution. Any fluctuation in oil prices, changes in OPEC+ agreements, or a global economic slowdown could impact Oman’s oil revenue and overall economic performance.
The budget’s cautious approach balances growth with fiscal prudence, aiming for diversification and stability despite external uncertainties. Its success will depend on flexible implementation, monitoring global trends, and adapting to economic shifts.
Source : www.zawya.com
