Oman growth risks slumping to 3% in 2009

SLOWING GROWTH: A shot of Oman's capital Muscat. Economic growth in Oman may drop to three percent in 2009. (Getty Images)

Oman's economic growth could slow from around sevn percent this year to three percent in 2009, and could revise its development plans from 2010 if oil prices remain low, an Omani economy ministry official said on Tuesday.

"If the oil price is below $70 a barrel, we must expect slower growth. I think our economy will continue to grow but not as much," Abdul Malik Al-Hinai, undersecretary of economic affairs at Oman's economy ministry, told newswire Reuters.

Asked what the growth rates would be for 2008, Hinai said: "Seven percent... I think our country will continue to grow around three percent."

He said the government had no immediate plans to reduce expenditure but, if oil prices remained low, it could cut spending from 2010.

"Many of the projects have already been decided and there are enough resources to finance them," he said, referring to the Gulf Arab oil producer's 2010 development plan.

"Maybe there will be a revision of the next development plan. There may be some infrastructure projects that could be revised."

Tourism projects would not be revised, he said. (Reuters)

Print | Email | Discuss this article |

READERS' COMMENTS

Click here to post a comment

Add your Comment All posts are sent to the administrator for review and are published only after approval. ArabianBusiness.com reserves the right to remove any comment at any time for any reason. Please keep your responses appropriate and on topic.
Name *
Remember me on this computer
Email *	(Your email address will not be published)
City
Country
Subject *
Comment *
Notify me of further comments
Security Code *
Please click post only once - your comment will not be published immediately.

MORE FROM ARABIANBUSINESS.COM