Oman's central bank raises OMR35m from treasury bills

Muscat: Oman’s central bank on Tuesday floated a tender for Treasury Bills to raise OMR35 million.
The Treasury Bills have a maturity period of 91 days, from August 23 until November 22, 2017.
The average accepted price reached 99.705 for every OMR100 while the minimum accepted price arrived at 99.705 per OMR100. The average discount rate and the average yield reached 1.18324 per cent and 1.18764 per cent, respectively.
The interest rate on the Repo operations with Central Bank of Oman is 1.736 per cent for the period from August 22 to 28, while the discount rate on the Treasury Bills Discounting Facility with CBO is 2.486 per cent for the same period.
The Treasury Bills are short-term highly secured financial instruments issued by the CBO on behalf of the Government, which helps the licensed commercial banks to gainfully invest their surplus funds, with added advantage of ready liquidity through discounting and repurchase facilities (Repo) offered by the Central Bank of Oman.
Also, the Treasury Bills promote the local money market by creating a benchmark yield curve for short-term interest rates.
Additionally, the government may also resort to this instrument whenever felt necessary for financing its recurrent expenditures.