Oman Issues RO 20.3 Million in Treasury Bills

Muscat: The Government of Oman has issued Treasury Bills worth a total of RO 20.3 million, according to the Central Bank of Oman (CBO).

Of this, RO 5 million was allotted for a 28-day maturity period, with an average accepted price of RO 99.700 per RO 100 and a minimum accepted price also at RO 99.700. The average discount rate stood at 3.91071%, while the average yield reached 3.92248%.

An additional RO 15.3 million was allotted for a 91-day maturity period. These bills had an average accepted price of RO 98.936 and a minimum accepted price of RO 98.930 per RO 100. The average discount rate was 4.26790%, and the average yield was 4.31381%.

Treasury Bills are short-term, highly secure financial instruments issued by the Ministry of Finance, offering licensed commercial banks a safe avenue to invest surplus funds. The Central Bank of Oman serves as the Issue Manager and provides additional liquidity support through discounting and repurchase (Repo) facilities.

The Repo interest rate with the CBO is currently 5.00%, while the discount rate under the Treasury Bills Discounting Facility is 5.50%.

In addition to offering liquidity and secure investment, Treasury Bills help strengthen the local money market by establishing a benchmark yield curve for short-term interest rates. The government may also use this instrument to finance recurring expenditures, as and when required.