MUSCAT: The total value of government treasury bills issued this week exceeded RO 39.5 million, according to the Central Bank of Oman, reflecting continued activity in the Sultanate of Oman’s short-term debt market.
Issuances included RO 15 million in 28-day bills, which recorded an average accepted price of RO 99.721 per RO 100, with a minimum accepted price of RO 99.720. The average discount rate stood at 3.64131 per cent, while the average yield reached 3.65151 per cent.
Treasury bills with a 91-day maturity amounted to RO 13.5 million, with an average accepted price of RO 99.056 and a minimum of RO 99.050. These recorded an average discount rate of 3.78816 per cent and an average yield of 3.82428 per cent.
Meanwhile, 182-day bills totalled RO 11 million, with an average accepted price of RO 89.074 and a minimum of RO 89.065 per RO 100. The average discount rate for this tranche was 3.86240 per cent, with a corresponding average yield of 3.93825 per cent.
The central bank noted that the repo rate applicable to these treasury bills stands at 4.25 per cent, while the discount rate on treasury bill facilities is set at 4.75 per cent.
Treasury bills are short-term government-backed instruments issued by the Ministry of Finance and administered by the Central Bank of Oman. They provide licensed commercial banks with a secure investment avenue while supporting liquidity management through discounting and repurchase agreements.
Beyond liquidity, treasury bills play a key role in establishing benchmark short-term interest rates in the domestic financial market and offer the government a flexible mechanism to finance expenditure requirements. — ONA
Oman Observer is now on the WhatsApp channel. Click here
