Moody's cuts Oman's rating amid 'limited' fiscal reforms

Moody’s Investors Service has downgraded Oman’s long-term issuer and senior unsecured bond ratings to Ba1 from Baa3, as it maintained a “negative” outlook.

The downgrade reflects the rating agency's view that “prospects for new meaningful fiscal reforms are limited, to a greater extent than the rating agency had previously assessed."

“This view is underscored by delays of measures that were announced in early 2018 and that Moody’s expected would be implemented during 2018-19," it added.

Moody’s forecasts Oman’s fiscal deficit to remain high, ranging from 7 percent to 11 percent of gross domestic product in the next three years.