Economy of Oman
The economy of Oman is mainly centered around its oil sector, with fishing and trading activities located around its coastal regions. When oil was discovered in 1964, the production and export increased significantly. The government has made plans to diversify away from oil under its privatization and Omanization policies. This has helped raise Oman's GDP per capita continuously in the past 50 years. It grew 339% in the 1960s, reaching a peak growth of 1,370% in the 1970s. Similar to the pricing of all other commodities, the price of oil is subject to significant fluctuations over time, especially those associated with the business cycle. A commodity's price will rise sharply when demand, like that for oil, outpaces supply; meanwhile, when supply outpaces demand, prices will fall.
Ruwi, the central business district of Muscat, Oman's capital and largest city | |
| Currency | Omani rial (OMR) |
|---|---|
| US$1 ≈ 0.3845 OMR | |
| Calendar year | |
Trade organisations | WTO and GCC |
Country group |
|
| Statistics | |
| GDP |
|
| GDP rank |
|
GDP growth |
|
GDP per capita rank |
|
GDP by sector | agriculture 1.7% industry 45.2% services 53% (2017 est.) |
| 0.900% (2018) | |
Population below poverty line | NA% |
| 30.72 (2010) 0.30 (2023) | |
| |
Labour force | 2,787,190 (2019) |
| Unemployment | 3.0% (Dec 2017) |
Main industries | crude oil production and refining, natural and liquefied natural gas (LNG) production; construction, cement, copper, steel, chemicals, optic fiber |
| External | |
| Exports | $21.1 billion (2016) |
Export goods | petroleum, reexports, fish, metals, textiles |
Main export partners | |
| Imports | $20.6 billion (2016) |
Import goods | machinery and transport equipment, manufactured goods, food, livestock, lubricants |
Main import partners | |
FDI stock |
|
| −$10.76 billion (2017 est.) | |
Gross external debt | $46.27 billion (31 December 2017 est.) |
| Public finances | |
Government debt | 88% of the GDP (2019 est.) |
| Revenues | $157.02 billion (2019 est.) |
| Expenses | $163.41 billion (2019 est.) |
Credit rating | Standard & Poor's: AAA (T&C Assessment) Outlook: Stable Moody's: Aaa Outlook: Fitch: AAA- Outlook: negative |
It scaled back to a modest 13% growth in the 1980s and rose again to 34% in the 1990s. Oman joined the Gulf Cooperation Council in 1981 with the aim of establishing a customs union, a common market and a common currency.
Petroleum is responsible for 64% of all export revenue, 45% of government income, and 50% of GDP. Given that it accounts for half of the Sultanate of Oman's GDP, the petroleum products industry is one of the most significant in the Omani economy.
Oman's economy heavily relies on cement, a vital component of the construction industry. Cement plays a crucial role in facilitating urbanization, infrastructure development, and overall economic expansion. The cement industry contributes to Oman's economy by providing employment opportunities, both directly and indirectly. It also generates revenue through taxes and fees and contributes to the development of related sectors, such as logistics and transportation.