How much will Oman government spend on fuel subsidy this month?

The price of M91 fuel has shot up to 207 baisas per litre, which is up by 8 baisas from January.

Additionally, higher grade M95 fuel will now cost 218 baisas per litre, up from 213 baisas per litre.

With this record-breaking hike, people who benefit from the new fuel subsidy scheme will be able to save RO5.4 a month, if they avail the 200 liters per month maximum grant.

This grant is exclusive to Omani citizens above 18-year-old who own a vehicle registered with Royal Oman Police or a fishing boat registered with the Ministry of Agriculture and Fisheries subject that their total monthly income from all sources is not more than OMR600.

This means the government will spend around one million rials a month on fuel subsidy, putting in account that 195,671 people have used their subsidy cards until Jan 25, according to the National Subsidy System.

People registered under the new subsidy scheme pay a fixed rate of 180 baisa per litre (M91 fuel only), which means that by February 1st, they will be paying 27 baisa less per litre.

The Council of Ministers in January decided to allocate around RO100 million in the State budget to help citizens affected by the removal of fuel subsidies.

Usage of 200 litres of fuel can commute 60 km per day on average, which is equal to 1,800 km a month.