|
The Economy and Politics of Muscat , the capital of Oman is principally dependent on its vast reserve of crude oil. The total production of crude oil in Oman is around 700,000 barrels(110,000 m 3 ) of oil per day. There have been significant discoveries of natural gas, creating hope for gas-based industries. Oil represents about 90% of Oman's exports. There has been a substantial trade surplus and the inflation continues to be low. The government of Oman is pushing ahead with privatization of its utilities which began in the mid 1990s. The government is developing a body of commercial laws to facilitate foreign investments and increase budgetary outlays. The government of Oman continues to liberalize its economy despite global economic slowdown and joined the World Trade Organization in November 2000. All these steps are being taken to make the Economy and Politics of Muscat global. A great deal of the Economy and Politics of Muscat now is geared to make the country self sufficient. Manufacturing which accounts for a mere 7.7% of GDP in 2002 , is limited by the sector's over reliance on overseas labor. In 2003 an estimate showed that a mere 12% of Omanis are in the private sector compared to 75% in the public sector. To reduce unemployment and limit its dependence of foreign countries, the government of Oman is encouraging replacement of overseas workforce with local people. Effort is being made in giving training in information technology, business management and teaching of English language due to its international acceptance. Some other statistics of Oman reflecting its Muscat's Economy and Politics is: • GDP : Purchasing power parity-$37.5 billion(2003 est) • GDP-real growth rate: 3.3 %(2003est) • GDP – per capita: Purchasing power parity-%13,400(2003 est) • GDP – Composition by sector: agriculture: 2.1 % industry:53.4% services: 44.5%(2002 est) • Population below poverty line: NA% • Inflation rate : 0.3%(2003 est) • Labor Force: 920,000 (2002 est) • Unemployment rate: NA %(2002 est) • Budget: revenues: $9.2 billion expenditures: $6.9 billion • Exchange Rate; I US Dollar=0.38 Omani Riyal .On 20 July 2006 , the U.S. House of Representatives approved a US-Oman Free Agreement The government of Oman quickly deployed the income it generated in building infrastructures of roads, schools hospitals, water and electricity generating plants. These activities have made Oman a developed economy in a short period of time despite being the only oil-producing country in the Middle East and not a member of OPEC. Oman is a monarchy with Muscat as its capital. Qabus ibn Sadid as-Sadid, is the hereditary chief of the State and government of Oman. He appoints a cabinet to assist him to run the country. Voting rights for those over the age of 21 years was instituted on 4 October 2003. A massive 190,000 people (74% of the registered voters) turned out to elect 83 seats. There were two women elected to the seats. Today Oman has two women ministers. The sultan functions as an absolute ruler. The legal system is based on the English Common Law and also the Islamic law. But the ultimate lies with the monarch.
|
