Oman's economy expected to grow 3.7% in 2026

17/11/2025 04:46 AST

Oman's economy is expected to record real GDP growth of around 2.9% in 2025, with growth likely to accelerate to 3.7% in 2026, supported by continued momentum in non-oil sectors and easing oil production restrictions under the OPEC+ agreement, according to the Ministry of Economy. In a statement published by Oman News Agency, the ministry confirmed that inflation in Oman has remained stable at a moderate level, significantly lower than the actual economic growth achieved during the Tenth Five-Year Development Plan (2021-2025). 'This is a significant achievement, demonstrating the Omani economy's ability to sustain growth and overcome challenges while implementing the objectives of Oman Vision 2040 and the economic diversification strategy,' the ministry said. The ministry pointed out that Oman's success in managing the global inflation crisis and keeping inflation at a safe level has supported real economic growth and stable domestic prices. It noted that the average inflation rate, as measured by the Consumer Price Index, was 1.4% during 2021-2024, while the real GDP growth rate rose to approximately 3.4%, exceeding the inflation rate and approaching the 3.5% target set in the Tenth Development Plan. The ministry indicated that the average inflation rate from the beginning of 2025 until the end of the third quarter was 0.8%. Real GDP growth reached 2.3% during the first half of 2025 compared with the same period last year, and the inflation rate is expected to reach around 0.9% year-on-year by the end of the year, according to estimates by the International Monetary Fund.

Muscat Daily