A tender of Government Treasury Bills, issue number 561, worth RO183mn was issued this week.

The results of the recent issue are as follows:

The total value of the allotted Treasury bills amounted to RO183mn, for a maturity period of 91 days, from 8 June 2022 until 7 September 2022. The average accepted price reached RO99.607 for every RO100, and the minimum accepted price arrived at RO99.605 per RO100.

The average discount rate and the average yield reached 1.57777 per cent and 1.58400 per cent, respectively.

It may be noted that the interest rate on the Repo operations with CBO is 1.50 per cent while the discount rate on the Treasury Bills Discounting Facility with CBO is 2.00 per cent.

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.

What are Treasury Bills?

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 the added advantage of ready liquidity through discounting and repurchase facilities (Repo).