Oman possesses a developing, hydrocarbon-reliant economy, ranking as the 73rd largest globally by nominal GDP as of 2024, estimated at around USD 107 billion. Its economic foundation is primarily built upon its oil and gas reserves, which historically accounted for a significant portion of its GDP and export earnings, though diversification efforts are underway. While still dominant, the government has been actively promoting non-oil sectors like tourism, logistics, manufacturing, and mining through its Oman Vision 2040 initiative to reduce economic reliance on hydrocarbons. The country benefits from its strategic location at the mouth of the Persian Gulf, facilitating trade. It maintains strong economic ties with Gulf Cooperation Council (GCC) member states and Asian economies. Oman’s economic outlook for 2025 is shaped by global energy prices, the success of its diversification programs, and regional stability.

This sovereign bond is attractive due to the Kingdom’s strong and improving credit profile, a result of successful economic diversification initiatives, and a commitment to fiscal responsibility. It offers investors a degree of stability within the emerging markets landscape. The nation’s proactive economic reforms and strategic investments are expected to support sustained long-term growth. This makes it a compelling option for those seeking stable returns from a robust Middle Eastern economy.

The Republic of the Philippines is one of the fastest-growing emerging market economies, driven primarily by strong consumer spending, remittances from overseas Filipino workers, and robust sectors like Business Process Outsourcing (BPO), tourism, and manufacturing. While its GDP per capita remains comparatively low, the economy is expected to sustain strong growth, potentially leading to sovereign ratings upgrades, contingent on continued structural improvements and sectoral diversification. Key risks include the potential impact of US tariffs on trade and the challenge of increasing tax revenues given a significant informal economy. However, upside potential is possible amid stabilizing inflation and ongoing economic reforms aimed at attracting investment and boosting domestic demand. For structured products and portfolio diversification we also favor this euro-denominated bond for cross-currency swap.