State
Public Revenues Increase 16% in 2024
Muscat,
1 Jun (ONA) — The final account for the 2024 State Budget indicate that total
public revenue reached RO 12,781 million in 2024, reflecting a 16% increase
over the budgeted figure of RO 11,010 million. This growth was driven by increased
hydrocarbon revenue.
By
the end of 2024, public spending reached RO 12,241 million, reflecting an
increase of 5% over the budgeted amount of RO 11,650 million. This growth is
primarily driven by higher subsidies for oil products, as well as increaseddevelopment
expenditures by civil ministries.
The
Actual Performance for the Fiscal Year 2024 achieved a surplus of RO 540
million.
Net
oil revenue by the end of 2024, amounted to RO 7,452 million, representing a 16%
increase over the budgeted amount of RO 5,915 million for the year. This significant
growth was primarily driven bya rise in average oil prices, which
increased from the budgeted USD 60 per barrel to reach USD 82 per barrel.
On
the other hand, average oil and condensate production stood at 997,000 barrels
per day, against a budgeted projection of 1,031,000 barrels per day,
representing a decrease of 34,000 barrels per day. This decrease was primarily
driven by the government’s compliance with the voluntary production cuts set by
OPEC+.
By
the end of 2024, net gas revenue amounted to RO 1,822 million, representing a
16% increase over the budgeted amount of RO 1,575 million for the year. This
growth is attributed to higher average selling prices of liquefied natural gas
(LNG).
Non-hydrocarbon
revenue by the end of 2024 stood at RO 3,507 million, down by RO 13 million,
i.e., 0.4% compared to the approved budget estimates, representing 28% of total
public revenue.
By
the end of 2024, current revenue reached RO 3,472 million, up by RO 17 million
compared to budgeted figures of RO 3,455 million.
Total
tax and fee revenues reached RO 2,077 million by the end of 2024, reflecting a 5%
increase from the approved budget estimate. This positive variance is largely
due to increased corporate income tax revenue of RO 48 million and value-added
tax revenue of RO 41 million, driven by the ongoing economic recovery.
By
the end of 2024, non-tax revenue amounted to RO 1,395 million, representing a
3% decrease compared to the budgeted figure.
Public
spending by the end of 2024 stood at RO 12,241 million, reflecting an increase
of RO 591 million over the budgeted amount of RO 11,650 million. This growth is
primarily driven by higher subsidies for oil products and the electricity
sector, as well as increaseddevelopment expenditures by civil ministries.
Moreover,
current expenditure amounted to RO 8,534 million by the end of 2024, down by RO
39 million compared to a budgeted amount of RO 8,573 million. This reduction is
mainly attributable to a decrease of RO 114 million in public debt servicing
compared to the budgeted figure.
By
the end of 2024, actual spending on defense and security amounted to RO 2,987
million, down by RO 83 million compared to the estimated figures in the 2024
budget.
The
current and capital expenditure of civil ministries by the end of 2024, stood
at RO 4,611 million, up by 4% compared to a budgeted amount of RO 4,453
million.
Public
debt service by the end of 2024 reached RO 936 million, reflecting an 11%
decrease from the budgeted figure of RO 1,050 million approved in the 2024
budget. This decrease was due to the government’s management of its financial
obligations and the replacement of high-cost loans with lower-cost
alternatives.
Actual
spending on development projects of civil ministries and government units reached
RO 1,498 million, up by 31% compared to approved allocations in the 2024
Budget. This increase is driven by increased financial allocationsfor
development budgets across government units and governorates for2024, in
addition to the settlement of outstanding duesowed to private sector
companies executing these development projects.
Development
expenditure for the infrastructure sector reached 44% of total development
expenditure, while the social infrastructure sector amounted to 38% in 2024.
By
the end of 2024, contributions and other expenses stood at RO 2,209 million, representing
a 14% increase over the RO 1,937 million approved in the 2024 budget. This rise
was mainly driven by higher petroleum product subsidies, which reached RO 232
million, compared to the budgeted RO 35 million. Additionally, subsidies to the
electricity sector exceeded the budget by RO 105 million.
The
Ministry of Finance paid more than RO 1.6 billion to the private sector by the
end of 2024. This reflects the payment vouchers received through the
e-financial system, which have completed the documentary cycle.
The
Actual Performance for the Fiscal Year 2024 achieved a surplus of RO 540
million compared to a budgeted deficit of RO 640 million. This is due to higher
hydrocarbon revenue.
By
the end of 2024, public debt reached RO 14.6 billion, down by RO 660 million,
compared to actual figures in 2023. This is as a result of repaying part of
Government loans and obligations.
—Ends/AG
