Oman's central bank issues treasury bills worth OMR37m
February 13, 2018 | 4:22 PM
by ONA
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Muscat: Oman’s central bank raised OMR37 million by way of allotting treasury bills on Tuesday. The treasury bills are for a maturity period of 91 days, from February 14, until May 16, 2018.

The average accepted price reached 99.640 for every OMR100, and the minimum accepted price arrived at 99.630 per OMR100. Whereas the average discount rate and the average yield reached 1.44287 per cent and 1.44808 per cent, respectively.

The interest rate on the Repo operations with Central Bank of Oman (CBO) is 2.087 per cent for the period from February 13, 2018 to February 19, 2018 while the discount rate on the Treasury Bills Discounting Facility with CBO is 2.837 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.

Further, treasury bills promote the local money market by creating a benchmark yield curve for short-term interest rates. Also, the Government (MOF) may also resort to this instrument whenever felt necessary for financing its recurrent expenditures.

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