CBO launches new Government Development Bonds

The Central Bank of Oman (CBO) today announced the new issue of Government development bonds (GDB). The size of the 64th issue is fixed at RO 200 – 250 million with a maturity period of 5 years and will carry a coupon rate of 5.00% p.a. The issue will be open for subscription from May 7 to 14, 2020 while the auction will be held on Sunday, May 17, 2020.

The issue settlement date will be on Tuesday, 19 May 2020. Interest on the new bonds will be paid semiannually on November 19 and May 19 every year until maturity date on May 19, 2025.

Investors may apply for these Bonds through the competitive bidding process only. Investors may submit bids through commercial licensed banks operating in the Sultanate of Oman.

Investors with applications of RO One million and above may, if they so wish to submit their bids directly to CBO after getting them endorsed from their banks. Prospectus and application forms can be obtained from any commercial licensed bank operating in the Sultanate, or through CBO official website (www.cbo-gov.om).

The Bonds are direct and unconditional obligations of the Government of the Sultanate of Oman. The Bonds can be used as collateral to obtain loans from any local commercial licensed bank.

The Bonds can also be traded at prevailing market rates through the Muscat Securities Market (MSM).

The details of the bonds allotted will be recorded in the register maintained by Muscat Clearing & Depositary Company (MCD). Investors must provide the same bank account details registered with MCD in order to ensure the smooth processing of their bids and the receipt of the coupon payments and principal amount on their scheduled dates.

The 64th GDB Issue is offered to all investors, residents, and non-residents (irrespective of their nationality). ONA

Oman Observer

To get free breaking news and updates from Oman Observer, WhatsApp your name and email to 96473232. https://www.omanobserver.om/ is now on Telegram. Join our channel https://t.me/OmanObserverNews in your Telegram and stay updated

observer has 9494 posts and counting.See all posts by observer