The Central Bank of Oman (CBO) Chief Executive Taher Al Omari revealed that the Omani government is not in talks with the Gulf states for a new aid package, despite a large fiscal deficit and expectations of a slowdown in economic growth this year."
“The fiscal deficit is being reduced by curbing spending, so there is some control overspending, where the country got some money from indirect taxes." Stressing that "the CBO has no plans to change the monetary policy regarding the exchange rate".
He also cleared that "the commitment of the Sultanate of Oman to peg the riyal to the dollar, on the grounds that this stabilizes, and for this there are no plans to change monetary policy in relation to the exchange rate."
The central bank had forecast real GDP growth of 1.1 percent this year, down from a previous estimate of 2.2 percent.
The Sultanate of Oman is suffering from a cycle of economic crises and difficulties in implementing reforms in light of the decline in financial resources due to the decline in oil prices since mid-2014.
Source (Alarabiya.net, Edited)
