The economies of Gulf oil exporting nations look increasingly strained, new forecasts show, but economists say there's still no cause for alarm.
The fiscal balances of Gulf Cooperation Council (GCC) oil exporting nations will hit a deficit of 7.7 percent of gross domestic product (GDP) in 2015 following a 50 percent decline in Brent crude prices over the past twelve months, a report by the Institute of International Finance (IIF) released over the weekend said. That's down from double-digit surpluses in recent years.
Read MoreOil heading to $20: Expert
Saudi Arabia - the world's largest producer - is set to post a current account deficit for the first time in a decade this year, the report said. Meanwhile the United Arab Emirates - the world's eighth largest producer - will shift to a fiscal deficit of 4.3 percent of GDP, from a surplus of 6.7 percent last year.
Moody's Investor Services expressed similar concerns in a recent report: "Large net oil-exporting countries such as Oman, Bahrain and Saudi Arabia will likely record the largest deterioration in both fiscal and external metrics this year, moving from large twin surpluses to twin deficits."