MUSCAT: International Monitory Fund (IMF) has praised Oman’s plans to implement the medium term fiscal plan (Tawazun) and the government’s efforts in boosting non-oil revenues.

“The fiscal adjustment plan (Tawazun) targets the elimination of the fiscal deficit over 2021-25 by boosting non-oil revenues while keeping nominal fiscal expenditures broadly constant. To improve public asset management, the government established the Oman Investment Authority (OIA) with a mandate to strengthen the governance and efficiency of public enterprises. Also, a new holding company—Energy Development of Oman (EDO)—was created to manage and finance government investments in oil, gas, and renewables,” IMF said in its report.

IMF also praised the Sultanate’s efforts in responding rapidly to the coronavirus crisis. “Measures included closure of non-essential businesses, social distancing requirements, and border restrictions, while increasing health and medical support and social assistance to the population. The swift and well-coordinated response effectively limited the spread of the coronavirus in the latter part of 2020, but the social distancing and other restrictions weighed heavily on economic activity, particularly those requiring close human contact,” IMF added.