Muscat: Oman’s central bank raised OMR60 million from treasury bills. The treasury bills were for a maturity period of 182 days, from September 27 to March 28, 2018.
The average accepted price reached 99.348 for every OMR100, while the minimum accepted price arrived at 99.335 per OMR100. The average discount rate and the average yield reached 1.30859 per cent and 1.31718 per cent, respectively.
The interest rate on the Repo operations with CBO is 1.737 per cent for the period from September 26 to October 2, 2017, while the discount rate on the Treasury Bills Discounting Facility with CBO is 2.487 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, 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.