The huge reduction in prices of crude oil has posed a major challenge in front of Oil producing countries. Oman is one of such countries whose revenue from Oil sector contributes to the extent of 84% of the total revenue. Due to the change in the oil prices it is expected that there would be increase in the annual deficit of the country's financial budget in the years to come.
The paper discusses the need to diversify and explore the new avenues for revenue generation. The paper also identifies the major industries or sectors which have potential to grow. However though the sectors have potential, it not easy to make it productive and generate revenue overnight. Therefore the paper tries to analyse the challenges which may lay ahead and the probable solutions to overcome it and generate income from non oil sectors as well.
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