Fitch Affirms Oman at BB-

Fitch Ratings has affirmed Oman's long-term foreign-currency issuer default rating at BB- with a negative outlook.

In 2020 Oman's budget deficit increased to 18% of GDP and government debt/GDP spiked to 79% (from 60% in 2019), as oil prices declined by a third and nominal GDP by 15%.

Real GDP contracted by an estimated 5.2% owing to coronavirus-related restrictions and lower oil production linked to the OPEC+ agreement.

Government debt had already been on a steep uptrend, climbing from 6% of GDP in 2014, amid oil price declines and limited fiscal reforms. SOE debt also increased in 2020, to 44% of GDP from 31% in 2019.

Rating sensitivities are linked to public finances based on the trajectory of government debt/GDP and Oman’s external balance sheet and liquidity conditions.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.