Report by the WTO Secretariat

Though Oman is relatively less hydrocarbon-rich than its neighbours, oil and gas still play a significant role in the economy. In 2020, the oil and gas sector accounted for 26.2% of GDP, represented about 60% of Oman’s merchandise exports, and contributed three quarters of total government revenues. Oman joined the OPEC+ Agreement in November 2017, and its average daily production was cut to 760,000 barrels as of July 2020. During the review period, Oman faced a double challenge from low oil prices and the COVID-19 pandemic; Oman’s economy grew to a peak in 2016 at a rate of 5.1% before it began a sharp slowdown in 2017. The economy contracted by 0.8% in 2019, and by a further 6.4% in 2020, mainly due to the global pandemic. As vaccine rollout gradually restores domestic activity along with the recovery of external demand, the economy is expected to grow by 2.5% in 2021.