Oman has cut down its public debt to 14.5 billion rials ($36.6 billion), down from the RO15.3 billion recorded at the end of 2023.

The sultanate paid off RO700 million towards its maturing international sukuk bonds, which contributed to a decline in the ratio of public debt to gross domestic product (GDP), from 36.5% in 2023 to 33.9% during the first half of 2024, the country’s state news agency said.

According to the Ministry of Finance, Oman’s financial obligations were managed through the repayment of external loans and the issuance of government development bonds. The ministry further said the repayment of foreign debts also resulted in a decline in the ratio of external debt, from 74% in 2023 to 71% during the first half of 2024.

Financial surpluses have been redirected towards social spending, stimulating economic growth, managing financial obligations, reducing public debt, and building reserve buffers, the ministry added.

(Writing by Bindu Rai, editing by Daniel Luiz)