CBO launches 64th issue of Government Development Bonds

Muscat: The Central Bank of Oman (CBO) announced the new issue of Government Development Bonds (GDB).
The size of the 64th issue is fixed at OMR200 - 250 million with a maturity period of 5 years and will carry a coupon rate of 5.00 per cent p.a. The issue will be open for subscription from May 7 to 14, 2020 while the auction will be held on Sunday, May 17, 2020.
The issue settlement date will be on Tuesday, May 19, 2020. Interest on the new bonds will be paid semiannually on November 19 and May 19 every year until maturity date on May 19, 2025.
Investors may apply for these bonds through the competitive bidding process only. Investors may submit bids through commercial licensed banks operating in Oman.
Investors with applications of OMR one million and above may, if they so wish submit their bids directly to CBO after getting them endorsed from their banks. Prospectus and application forms can be obtained from any commercial licensed bank operating in the Sultanate; or through CBO official website (www.cbo-gov.om).
The bonds are direct and unconditional obligations of the government of Oman. The bonds can be used as collateral to obtain loans from any local commercial licensed bank.
The bonds can also be traded at prevailing market rates through the Muscat Securities Market (MSM).
The details of the bonds allotted will be recorded in the register maintained by Muscat Clearing & Depositary Company (MCD).
Investors must provide the same bank account details registered with MCD in order to ensure the smooth processing of their bids and the receipt of the coupon payments and principal amount on their scheduled dates.
The 64th GDB issue is offered to all investors, residents and non-residents (irrespective of their nationality).