When oil prices crashed in March, Oman’s economy immediately stood out as one of the region’s most vulnerable (MEES, 13 March), alongside Algeria (see p4) and Iraq (MEES, 12 June). Even prior to March’s oil price crash, 2020 was shaping up to be a fiscally difficult year as Muscat sought to get to grips with rapidly expanding debt (MEES, 29 November 2019).
Oman’s oil and gas reserves lag its wealthier neighbors. But the economy is still highly oil dependent. The collapse in prices has thus widened the economy’s fault lines. (CONTINUED - 905 WORDS)