MUSCAT : Oman has based its 2026 state general budget on an assumed average oil price of $60 per barrel, projecting total revenues of about RO 11.447 billion, the Oman News Agency reported, citing official budget figures.
The revenue estimate represents a 2.4% increase over the approved figure for the 2025 fiscal year, reflecting the government’s continued reliance on a conservative oil price benchmark to insulate public finances from volatility in global energy markets.
Under the projections, the sultanate expects a budget deficit of RO 530 million in 2026, a 14.5% reduction compared with the deficit approved for 2025. The shortfall is equivalent to 4.6% of total estimated revenues and around 1.3% of projected gross domestic product, according to the figures.
Total public expenditure for 2026 is estimated at RO 11.977 billion, representing a 1.5% increase over the approved spending level for 2025.
The Ministry of Finance said the budget framework builds on fiscal gains achieved during the 10th Five-Year Plan (2021–2025), a period during which favourable global oil prices generated an additional RO 11.291 billion in revenues. Spending in priority sectors also rose, with social expenditure increasing by RO 2.687 billion and economic sector spending by RO 3.837 billion.
The minister added that funding allocations approved for all governorates through the end of the 2025 fiscal year have reached RO 983 million, underscoring the government’s focus on balanced regional development.
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