Central Bank of Oman announces OMR38 million treasury bills tender results

Muscat: Government treasury bills worth OMR38 million were allotted in a tender held at the Central Bank of Oman (CBO) this week.
The results of the issue number 041, are as follows: The total value of the allotted Treasury bills amounted to OMR38 million, for a maturity period of 28 days, from 13th September until 11th October, 2017.
The average accepted price reached 99.920 for every OMR100, and the minimum accepted price arrived at 99.920 per OMR100. Whereas the average discount rate and the average yield reached 1.04286 per cent and 1.04369 per cent, respectively.
The interest rate on the Repo operations with CBO is 1.736 per cent for the period from 12/09/2017 to 18/09/2017, 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.
Furthermore, the Treasury Bills promote the local money market by creating a benchmark yield curve for short-term interest rates.
Additionally, the Government (MOF) may also resort to this instrument whenever felt necessary for financing its recurrent expenditures.