Financial state of Oman reviewed amid crude price decline

Muscat: Within the framework of following up the state’s financial and economic developments, the Financial Affairs and Energy Resources Council (FAERC) reviewed a report on the government’s financial position as on October 31, 2016.
The report pointed out that as of the end of October 2016, the deficit stood at OMR4.8 billion due to decline of oil revenues by 27 per cent compared to the budget and by 41 per cent compared to the realised revenues in 2015.
The Council held its 5th meeting for 2016 at the Ministry of Finance yesterday under the chair of Darwish bin Ismail Al Balushi, Minister Responsible for Financial Affairs, FAERC Deputy Chairman.
The Council also reviewed a report of the State Council and Majlis Al Shura on the draft state general budget for 2017 as well as their remarks on the financial condition of the state and the financial framework of the state’s budget. The Council was also briefed on the proposed replies on the remarks of the State Council and Majlis Al Shura. It recommended raising them to the Council of Ministers.
The Council, which decided to go ahead with the procedures for approving the state general budget for 2017.
It also stressed the need to continue measures that rationalise expenditure, enhance efficiency and diversify sources of non-oil revenues. It also approved the plan to finance 2017 budget.
Additionally, the Council discussed the memorandum on the measures taken to implement its decision about developing the management of government investments. These measures include transfer of the government shares in the local and foreign companies to holding companies and sovereign funds, each within its jurisdiction.