CBO issues treasury bills worth OMR70 million

CBO issues treasury bills worth OMR70 million

Muscat: The Central Bank of Oman (CBO) raised OMR70 million by way of allotting treasury bills on Monday.

The value of the allotted Treasury bills amounted to OMR25 million, for a maturity period of 28 days. The average accepted price reached OMR99.613 for every OMR100, and the minimum accepted price arrived at OMR99.610 per OMR100. The average discount rate and the average yield reached 5.04482 per cent and 5.06442 per cent, respectively.

Whereas, the value of the allotted treasury bills amounted to OMR45 million, for a maturity period of 91 days. The average accepted price reached OMR 98.692 for every OMR100, and the minimum accepted price arrived at OMR98.690 per OMR100. The average discount rate and the average yield reached 5.24816 per cent and 5.31774 per cent, respectively.

Treasury bills are short-term highly secured financial instruments issued by the Ministry of Finance, and they provide licensed commercial banks the opportunity to invest their surplus funds. The Central Bank of Oman (CBO) acts as the Issue Manager and provides the added advantage of ready liquidity through discounting and repurchase facilities (Repo).

It may be noted that the interest rate on the Repo operations with CBO is 6.00% while the discount rate on the Treasury Bills