MUSCAT (AFP) -- The standard of living in Oman is improving with the sultanate recording a 3.1 increase in per capita income, despite a 2.5 percent growth in population, said Ahmed bin Abdulnabi Al-Macki, Oman's minister of national economy. Macki said per capita income rose from 3,077 rials (7,998 dollars) in 2002 from 2,490 rials (6,472 dollars) in 1995, adding that "this period was characterised by the fall of inflation, (with) the standard of living of the individual increasing above the average per capita income rate."

The minister, speaking Saturday, attributed the positive trend to increased participation of citizens in the labour force and "expansion of the economic base," according to the official Oman News agency.

"Self employment ... as well as backing from the private sector in tourism, industry, agriculture, fisheries, education and health sectors in general led to a highly conducive environment for investment," he added.

Macki said the national economy was sound and steady, thanks to higher oil prices.