Tender Results of Government Treasury Bills Worth OMR 70mn Issued

Muscat: The total issuance of Government Treasury Bills amounted to OMR 70 million. The value of the allotted Treasury bills amounted to OMR 5 million, for a maturity period of 28 days. The average accepted price reached OMR 99.615 for every OMR 100, and the minimum accepted price arrived at OMR 99.615 per OMR 100. The average discount rate and the average yield reached 5.01875% and 5.03815%, respectively.

Whereas, the value of the allotted Treasury bills amounted to OMR 28.6 million, for a maturity period of 91 days. The average accepted price reached OMR 98.734 for every OMR 100, and the minimum accepted price arrived at OMR 98.705 per OMR 100. The average discount rate and the average yield reached 5.07643% and 5.14151%, respectively.

While, the value of the allotted Treasury bills amounted to OMR 36.4 million, for a maturity period of 182 days. The average accepted price reached OMR 97.446 for every OMR 100, and the minimum accepted price arrived at OMR 97.430 per OMR 100. The average discount rate and the average yield reached 5.12217% and 5.25643%, respectively.

Treasury Bills are short-term highly secured financial instruments issued by the Ministry of Finance, and they provide licensed commercial banks the opportunity to invest their surplus funds.

The Central Bank of Oman (CBO) acts as the Issue Manager and provides theadded advantage of ready liquidity through discounting and repurchase facilities (Repo). It may be noted that the interest rate on the Repo operations with CBO is 6.00% while the discount rate on the Treasury Bills Discounting Facility with CBO is 6.50%.

Furthermore, Treasury Bills promote the local money market by creating a benchmark yield curve for short-term interest rates. Additionally, the Government may also resort to this instrument whenever felt necessary for financing its recurrent expenditures.