Oman’s 2026 Budget Announced: OMR 530 Million Deficit (Equivalent to 1.3% of GDP)

The Government of Oman has announced the 2026 General Budget, adopting a cautious and fiscally realistic approach that reflects the continued implementation of expenditure control, debt management, and efforts to strengthen the resilience of the national economy.

According to official statements, total government revenues for 2026 are estimated at approximately OMR 11.447 billion (≈ USD 29.8 billion), representing a 2.4% increase compared to the approved revenues in the 2025 budget. These projections are based on an assumed average oil price of USD 60 per barrel, a conservative benchmark that underscores the government’s prudence in the face of volatility in global energy markets.

On the expenditure side, total public spending is projected at OMR 11.977 billion (≈ USD 31.1 billion), marking only a 1.5% increase over the approved 2025 expenditure level. This limited rise highlights the government’s continued commitment to spending discipline and avoidance of unregulated fiscal expansion.

As a result, the 2026 budget deficit is estimated at approximately OMR 530 million (≈ USD 1.38 billion, equivalent to 1.3% of GDP), reflecting a 14.5% reduction compared to the deficit approved for 2025. The deficit represents 4.6% of total public revenues and only 1.3% of GDP, a level widely regarded—by fiscal standards—as manageable and low risk.

Overall, the 2026 budget figures indicate that Oman remains firmly on a path of fiscal discipline, gradual deficit reduction, and alignment with the objectives of Oman Vision 2040. This trajectory aims to reinforce economic stability, safeguard the government’s fiscal credibility, and create a more secure environment for both domestic and foreign investment.

Official Sources:
Oman News Agency, Al Rai Media