Economics
Oman Relaxes Loan Payments for Retirees to Ease Austerity Blow
- Banks can deduct 30% to 35% of pension checks to pay debt
- Oman pushed many into retirement to reduce pressure on budget
This article is for subscribers only.
Oman is reducing the loan payments that banks can directly deduct from monthly pension checks after the Gulf nation pushed thousands of citizens into early retirement to reduce pressure on its troubled finances.
Banks will be able to deduct 30% from retirement checks of 1,500 rials ($3,896) or less, according to Oman’s government communications office. For those earning more than 1,500 rials a month, lenders can take out 35%.