MUSCAT: The total value of government treasury bills allocated this week stood at RO 9.7 million, according to the Central Bank of Oman (CBO).
In a statement issued, the CBO said RO 5.2 million was allocated in 28-day treasury bills at an average accepted price of RO 99.712 per RO 100. The lowest accepted price was RO 99.710, with an average discount rate of 3.76030 per cent and an average yield of 3.77119 per cent.
Allocations of 91-day treasury bills amounted to RO 3 million, with an average accepted price of RO 99.803 and a minimum accepted price of RO 99.503 per RO 100. The average discount rate was 3.86058 per cent, while the average yield reached 3.89810 per cent.
Meanwhile, RO 1.5 million worth of 182-day treasury bills was issued at an average accepted price of RO 89.200 per RO 100, with the lowest accepted price also at RO 89.20. The average discount rate stood at 3.60989 per cent, and the average yield at 3.67606 per cent.
The CBO noted that the interest rate on repurchase agreements (repos) for these treasury bills is set at 4.25 per cent, while the discount rate on treasury bill facilities is 4.75 per cent.
Treasury bills are short-term, government-backed 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 agent. They offer high liquidity through discounting and repo operations with the CBO, and can also be traded among banks in the interbank market. In addition, treasury bills help establish a benchmark for short-term interest rates and enable the government to finance expenditures in a flexible manner. — ONA
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