Oman Finance Ministry Cuts 2020 Budget for Govt Agencies by 5%

Oman’s ministry of finance has cut by 5% the budget allocated to government agencies for 2020, according to two sources and a government circular seen by Reuters. The decision was “in response to the financial challenges of the country,” a source at the ministry of finance said. Oman, a small Gulf oil producer rated ‘junk’ by all major rating agencies, is expected to see its deficit widen this year because of lower oil prices, Reuters reported. “Based on the government’s decision to reduce the approved budgets of civil, military and security agencies for the year 2020 by 5%, the Ministry of Finance would like to inform all government agencies that the aforementioned percentage has been deducted from the approved budget for each agency,” a finance ministry circular dated March 12 said. The circular said no further funding would be made available if ministries do not stick to their amended budgets. Read more