Muscat, A tender of Government Treasury Bills, issue number 103, was held at the Central Bank of Oman (CBO) this week.
The results of issue are as follows: the total value of the allotted Treasury bills amounted to RO 57 million, for a maturity period of 28 days, from 14 October until 11 November 2020.
The average accepted price reached 99.950 for every RO 100 and the minimum accepted price arrived at 99.950 per RO 100. The average discount rate and the average yield reached 0.65179% and 0.65211% respectively.
Note that the interest rate on the Repo operations with CBO is 0.5% while the discount rate on the Treasury Bills Discounting Facility with CBO is 1%.
Treasury Bills are short-term highly secured financial instruments issued by the CBO on behalf of the Government, which help 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.
Source: Oman News Agency