Muscat, The economic recovery in the Sultanate is gaining traction as domestic demand improves and market sentiment becomes more conducive to growth. Also, the sustained increase in oil prices coupled with strong external demand will give the non-oil activities the needed stimulus. The diversification policy continues to add more strength to sustainable economic growth.
The oil prices made further gains and the price of Omani crude oil averaged US$63 a barrel during January-May 2018 as against US$51.6 a barrel during the same period last year.
Reflecting the significant surge in oil prices in addition to fiscal consolidation efforts that begun in 2015, the budget deficit witnessed a marked decline reaching RO 1095 million during January-May 2018 compared with RO 2035.4 million during the same period last year. Further, the rise in oil prices reflected positively on current account balance. The Inflationary conditions in Oman generally remained benign with the average annual inflation based on CPI for the Sultanate during January -May 2018 at 0.4 percent.
Source: Oman News Agency