Oman – Outlook Revised to Positive; Ratings Affirmed Rating Action
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Summary
Ref: OM 2 3 CRA00- 0 1 17 March 2023
Oman – Outlook Revised to Positive; Ratings Affirmed Rating Action
Capital Intelligence Ratings (CI Ratings or CI) today announced that it has revised the Outlook on Oman’s Long-Term Foreign Currency Rating (LT FCR) and Long-Term Local Currency Rating (LT LCR) to Positive from Stable. At the same time, CI Ratings has affirmed the sovereign’s LT FCR and LT LCR at ‘BB’, and Short-Term (ST) FCR and ST LCR at ‘B’.
Rating Rationale
The change in the outlook reflects the significant decline in gross central government debt and CI’s expectation that fiscal and external balances will remain in surplus over the coming years, returning government and external debt to low levels in net terms. The ongoing improvement in the public and external finances is supported by favourable oil prices and more prudent fiscal and debt management policies , including the utilis ation of recent hydrocarbon…