Standard & Poor's Maintains Oman's 'BBB' Rating

Standard & Poor’s affirmed Oman’s investment-grade rating at BBB with a stable outlook, citing continued public fiscal consolidation and improvements in the country’s economic, financial, and external positions.

The agency noted that Oman holds a distinct advantage compared to several Gulf states, as its oil and gas exports do not rely on transit through the Strait of Hormuz, thereby reducing its exposure to direct repercussions from any disruptions in maritime navigation through the strait.

In its report, S&P raised its forecast for Oman’s real GDP growth in 2026 to approximately 3.5%, up from its previous projection of 1.6%.

Regarding public finances, the agency projected a fiscal surplus of around 4.8% of GDP in 2026, followed by a surplus of approximately 2.2% of GDP in 2027, according to the Oman News Agency.

The agency highlighted the continued improvement in public debt indicators, alongside the maintenance of a positive position for net government assets over the medium term.

It also forecast a current account surplus of roughly 3.5% of GDP in 2026, narrowing to about 1.8% by 2029, noting that foreign exchange reserves reached approximately $19.5 billion by the end of June 2026.

On non-oil economic activities, the report pointed to sustained growth in the trade, logistics, information technology, and financial services sectors. Non-oil activity grew by approximately 1.3% year-on-year in the first half of 2026. Cargo volumes at the Port of Salalah and the Port of Sohar rose by approximately 15% and 52%, respectively, during the same period, reflecting Oman’s growing role as a regional hub for trade and logistics.