Deficit Cut, Fitch Note Give Respite to Oman's Debt Investors

Oman’s bond investors gained some respite this week as Fitch affirmed its rating for the indebted country and the government published encouraging deficit figures, potentially paving the way for the Gulf oil producer’s next debt sale, Reuters reported. Rated junk by all three major rating agencies, Oman has relied heavily on borrowing over the past few years to spur growth and refill its coffers – depleted because of lower oil prices. Fitch this week affirmed its BB+ rating with a stable outlook, saying that its assessment took into consideration Oman’s “undiversified economy, high fiscal and external deficits and debt ratios,” but that the country’s external assets position remained stronger than peers with a similar rating. Read more

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