Muscat:The Government Treasury Bills issuance has reached a total value of RO 44.5 million. The Treasury bills allotted for a 91-day maturity period amounted to RO 38 million, with an average accepted price of RO 98.965 per RO 100, and a minimum accepted price of RO 98.960 per RO 100. The average discount rate was 4.15269%, and the average yield was 4.19614%.
According to Oman News Agency, an additional RO 6.5 million worth of Treasury bills were allotted for a 182-day maturity period. The average accepted price for these bills was RO 97.904 per RO 100, with a minimum accepted price of RO 97.900 per RO 100. The average discount rate and yield were recorded at 4.20383% and 4.29383%, respectively.
Treasury Bills, issued by the Ministry of Finance, are short-term highly secured financial instruments that offer licensed commercial banks the opportunity to invest surplus funds. The Central Bank of Oman (CBO) manages the issuance and provides liquidity options through discounting and repurchase facilities. The interest rate on Repo operations with CBO is 4.50%, and the discount rate on the Treasury Bills Discounting Facility is 5.00%.
These Treasury Bills play a vital role in promoting the local money market by creating a benchmark yield curve for short-term interest rates. The Government may also utilize this instrument whenever necessary to finance its recurrent expenditures.