MUSCAT: The Sultanate of Oman’s General Budget for 2025 has allocated RO 1.580 billion to various subsidy programs as part of its ongoing efforts to curb inflation and support key sectors. The allocations include RO 577 million for the Social Protection Scheme, RO 520 million for the electricity sector, and RO 194 million for the water and wastewater sector. These measures underline the government’s commitment to maintaining economic stability and ensuring essential services remain affordable for citizens.
In addition to the major allocations, RO 82 million has been earmarked for the transportation sector, RO 73 million to support development and housing loan interests, and RO 59 million for waste sector management. The remaining funds will be directed toward subsidies for petroleum products, food commodities, and other critical areas. These efforts aim to bolster essential services and maintain accessibility for all segments of society, reflecting the government’s balanced approach to resource distribution.
Minister of Finance, His Excellency Sultan Salim Al Habsi, highlighted the importance of these subsidies in reducing inflation. Data from the National Centre for Statistics and Information (NCSI) shows that Oman’s inflation rate stood at 0.6 percent until November 2024, a significant drop from 1.1 percent during the same period in 2023. This decrease is attributed to targeted government policies, including subsidies for petroleum products, electricity, water, and basic commodities.
These allocations align with Oman’s broader economic strategy to manage inflation while fostering growth. By directing resources toward critical sectors, the government ensures economic stability and social welfare. Such measures reinforce public confidence in the nation’s fiscal policies and contribute to sustainable development across various industries. Through these steps, Oman continues to prioritize the well-being of its citizens while maintaining a robust economic framework.
