One of the most important goals of Oman’s 2024 budget is financial, economic and social sustainability, a Times of Oman report quoted a top official as saying.

Dr Mohammed bin Humaid Al Wardi, a member of the State Council, said: “Financial sustainability will be achieved through curbing deficit and overcoming public debt, and this we have achieved. Economic sustainability is being sought through working to achieve the targets fixed for the economy.”

Public spending is estimated to be OMR11.65 billion ($30.37 billion), and the total deficit OMR640 million. The deficit is proposed to be covered with price of oil at $60 per barrel and OMR240 million through borrowing, besides OMR400 million through withdrawal from reserves.

Regarding social sustainability, he said the budget will continue to support welfare schemes for the citizens.

He said OMR2 billion fund has been allocated for the education sector, which besides the current expenses, includes capital spending on development projects such as setting up of 15 new schools, 20 new government schools, in addition to establishing the University of Technology and Applied Sciences in Musandam Governorate.

OMR1 billion has been earmarked for the health sector and this covers current expenses in addition to development expenses for the establishment of three government hospitals in Samail, Al-Namaa and Al-Falah, in addition to completing seven government hospitals and other health centres, he said.

With regard to the housing sector, Oman is looking at accelerating loans granted to citizens for the construction of homes, the minister said.

He also hinted at setting up a lending portfolio worth OMR1.9 billion from which nearly 60,000 families will benefit. The government's role will be to provide partial support for the lending portfolio in order to accelerate housing construction for which loans will be provided to citizens.

Mohammed bin Ahmed Al Barashdi, Director General of Budget at the Ministry of Finance, said: "The 2024 budget aims to achieve several economic and social goals, foremost of which is financial sustainability, achieving economic growth of no less than 3%, keeping inflation rates within 3% or less.”

"Regarding the financial statements, the 2024 budget has been built and prepared at an average price of $60 per barrel, with an average daily production of 1.0 million barrels per day," Al Barashdi added.

"Oil revenues (oil and gas) amounted to OMR7.5 billion, representing about 68% of total revenues, while non-oil revenues amounted to OMR3.5 billion, representing 32%," the Director General of Budget said.

Dr Saeed bin Mubarak Al Mahrami, Professor of Finance at Sultan Qaboos University, said: "The Sultanate of Oman was able to reduce public debt from OMR20.8 billion to OMR15.8 billion within three years, meaning it got rid of OMR5 billion.”

"The Sultanate of Oman also is committed to paying benefits (debt service) on time, which amounted to about OMR3 billion and thus it paid OMR8 billion within three years," Al Mahrami added.