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Socio-economic Dynamics of Social Insurance in Oman: A Model Approach

Author

Listed:
  • Omer Ali Ibrahim

    (Postgraduate and Research Studies, College of Banking and Financial Studies, Muscat, Oman.)

  • Sonal Devesh

    (Postgraduate and Research Studies, College of Banking and Financial Studies, Muscat, Oman.)

Abstract

The paper examines the socio-economic dynamics and challenges to the social insurance scheme in Oman, during the period 2002-2016, using secondary sources. The study adopts a confirmatory factor analysis (CFA), and develops a model to identify the determinants of social insurance coverage for active insured and elderly beneficiaries. The study finds evidence that social insurance coverage in Oman is low, amounting to 12.1 and 6.6% for the active insured and the elderly beneficiaries respectively. Results also show that the common economic factors that have an influence on social coverage for both groups include per capita GDP, the fixed capital formation and inflation, while globalization has an influence on the active insured only., Omanization is a common, non-economic factor for both groups, in addition to fertility rate for the active insured, and life expectancy for elderly beneficiaries. Economic factors were found to be more important than non-economic factors for social insurance coverage in Oman.

Suggested Citation

  • Omer Ali Ibrahim & Sonal Devesh, 2020. "Socio-economic Dynamics of Social Insurance in Oman: A Model Approach," International Journal of Economics and Financial Issues, International Journal of Economics and Financial Issues, vol. 10(2), pages 37-47.
    • Handle: RePEc:eco:journ1:2020-02-5
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    References listed on IDEAS

    as
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    JEL classification:

    • C5 - Mathematical and Quantitative Methods - - Econometric Modeling
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions

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