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State Revenue Rises 0.5pc at End of July 2021

State Revenue Rises 0.5pc at End of July 2021

Muscat, Public revenue of the Sultanate increased marginally by 0.5% by the end of July 2021, compared with the same period of 2020, said the monthly bulletin of the Ministry of Finance today.

Such an increase is attributed to the rise of oil price to an average of US$ 54 per barrel as of end-July 2021. Additionally, net oil revenue reached RO 3,573.9 million, up by 3.4% as compared with the same period of 2020.

The current revenue increased by 34.9% over the same period of 2020. This is attributable to the dividends worth RO 613.3 million received from Oman Investment Authority (OIA).

As fiscal consolidation continues, the public spending continues to decline. By the end of July 2021, total spending amounted to RO 6,420.1 million, down by 4.7% compared with the same period in 2020.

As of end-July 2021, the budget deficit declined by 22.2% compared with the actual deficit recorded in 2020. The deficit stood at RO 1,205.9 million. This reduction is reflected by an increase in public revenue and a decrease in public spending by the end of July 2021 as compared with the period of 2020.

In August 2021, the Ministry of Economy launched “Economic Stimulus Initiative” to stimulate small and medium enterprises (SMEs) in collaboration with the private sector. This initiative includes eight sub-initiatives, which all seek to revitalize SMEs particularly those operating in the economic diversification sectors. The initiatives aim to support the recovery of SMEs and identify innovative solutions for their businesses and products.

Source: Oman News Agency