The report of the International Monetary Fund (IMF) expert mission, that visited the Sultanate of Oman as part of the Article IV consultations for 2025, confirmed the continued strength, stability and resilience of the Omani economy amid growing global uncertainty, caused by the volatility of energy markets, tightening financial conditions, and ongoing geopolitical tensions.

The report, after approval by the IMF’s Executive Council, indicates that economic activity in Oman continues to expand, supported by significant growth in non-oil activities, while inflation remains low and well controlled.

The report also notes that the state of both public finances and the external account remains generally good, supported by prudent macroeconomic management and ongoing reform efforts.

These results reflect the effectiveness of economic and fiscal policies in maintaining stability and supporting sustainable growth. The IMF report shows that inflation, reflecting measures taken to contain it, remains safe, despite prices rising by 0.9 percent during the period from January to October 2025 compared to 0.6 percent in 2024,

The report explains that these levels support the stabilisation of monetary conditions and promote confidence in the financial system. The report stresses that the economic performance in the Sultanate of Oman continued its positive growth in the first half of 2025 to reach 2.3 percent. This was mainly driven by the growth of non-oil sectors, which enhances economic diversification and supports financial development.

The evaluation shows that the Omani banking sector shows good durability, with strong levels of capital adequacy, supported by sufficient liquidity, improved profitability of banks, and the availability of high-quality assets. These results confirm the strength of the regulatory and supervisory framework, and the continuous efforts exerted by the Central Bank of Oman in maintaining financial stability, enhancing the ability to cope with external shocks, and reducing systemic risks.

The IMF adds that despite a modest current account deficit estimated at 1.1 percent of GDP in 2025 as a result of lower oil prices, Oman’s public finances and external account conditions remain strong. In the medium term, growth and financial and external conditions are expected to remain strong, supported by the growth of non-oil activities, a gradual increase in oil production, and the continued implementation of reforms within the framework of Oman Vision 2040, including policies aimed at developing the financial sector and promoting digital initiatives.

Responding to the report, the Central Bank of Oman affirmed its firm commitment to maintaining monetary and financial stability, ensuring a solid banking sector, and contributing to sustainable economic growth in line with the National Development Goals.