Muscat: The total value of government treasury bills allocated this week reached RO 50.15 million. All bills, with a 91-day maturity, amounted to RO 50.15 million at an average accepted price of 98.953 RO per 100 RO face value. The lowest accepted price was 98.940 RO, with an average discount rate of 4.19856% and an average yield of 4.24298%.
According to a statement from the Central Bank of Oman, the interest rate on repurchase (repo) operations with the bank for these bills is 5.00%, while the discount rate for treasury bill facilities with the Central Bank is 5.50%.
Treasury bills are short-term, secured financial instruments issued by the Ministry of Finance to provide investment opportunities for licensed commercial banks, with the Central Bank of Oman acting as the issuing manager.
These bills offer high liquidity, as they can be discounted with the Central Bank or used in repo transactions. Licensed commercial banks may also conduct interbank repo operations on these bills in the interbank market.
In addition, treasury bills help establish a benchmark for short-term interest rates in the local financial market and can be used by the government to finance expenditures efficiently and flexibly.— ONA
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