prices to be in line with international levels

After the step taken by the Saudi Arabia to raise fuel subsidies in line with an economic reform plan in light of the decline in oil revenues, Oman also announced that it would hike fuel prices, charges for public services and corporate taxes for the same reason.

“The Council of Ministers approved on Tuesday a 2016-2020 development plan and a 2016 budget in addition to a number of measures to face the consequences of dropping oil prices and to ensure fiscal sustainability,” ONA cited a cabinet statement as saying.

“These measures include reducing government spending and boosting non-oil revenues through raising taxes on corporate profits, increasing charges on some public services and amending fuel prices to be in line with international levels as from mid-January,” the statement said.

For his part, Undersecretary of Kuwait’s Finance Ministry Khalifa Hamada revealed his country’s plan to lift subsidies on 95 Octane Super fuel and Ultra fuel starting from next January as they will be sold according to global prices. Hamada added in statements that his country would gradually lift subsidies on Premium fuel. It will continue supporting premium fuel consumers by 1.65 dollars per liter, and it will gradually lift subsidy in three stages.

Other Gulf countries have taken specific measures to face the drop in the prices of oil, considered to be one of their major sources of revenue. The UAE has deregulated the fuel prices while Bahrain lifted subsidies on Diesel and Kerosene.