Oman – Sovereign Ratings Upgraded; Outlook Remains Positive
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Summary
Ref: OM25CRA00- 01 28 February 2025
Oman – Sovereign Ratings Upgraded; Outlook Remains Positive
Capital Intelligence Ratings (CI Ratings or CI) today announced that it has upgraded Oman’s Long-Term Foreign Currency Rating (LT FCR) and LT Local Currency Rating (LT LCR) to ‘BBB- ’ from ‘BB+’. At the same time, CI Ratings has upgraded the sovereign’s Short-Term (ST) FCR and ST LCR to ‘A3’ from ‘B’. The Outlook on the r atings remains Positive.
Rating Drivers
The upgrade is driven by ongoing efforts to strengthen the public finances , which have contributed to declining central government debt and the accumulation of financial assets. As a result, we expect the government to register a positive net financial asset position in 2025 for the first time since 2017 . These developments are underpinned by ongoing fiscal consolidation and proactive debt management. Despite prolonged voluntary cuts in hydrocarbon…