Essential foods, medicine, education exempt from levy

IDman is planning to introduce a 5 per cent value-added tax in April, following the lead of Gulf neighbors. Essential food items, medical care, education and financial services will be exempt from the planned levy, ac-cording to a royal decree de-tailing the tax yesterday.

Crude prices

Oman, the biggest oil ex-porter outside Optec, was among the more vulnerable economies in the six-nation Gulf Cooperation Council even before it was lashed by falling crude prices and the coronavirus pandemic. Its budget deficit as a share of gross domestic product is

 anticipated to be among the highest in the region, according to the International Monetary Fund. The UAE and Saudi Arabia, also impacted by the drop-in oil prices, imposed a 5 per cent VAT in 2018. Saudi Arabia tripled its tax this year.

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