Muscat: The Central Bank of Oman announced the new issue of Government development bonds. The size of the new issue is fixed at RO100 million with a maturity period of 3 years and will carry a coupon rate of 4.75 per cent pa.

The issue will be open for subscription from January 9 to 10, 2021, while the auction will be held on Monday, 18 January 2021.

The issue settlement date will be on Wednesday January 20, 2021.

Interest on the new bonds will be paid semiannually on 20 July and 20 January, every year until the maturity date on January 20, 2024.

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 RO1 million and above may, if they so wish, 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 the Central Bank of Oman official website (www.cbc.gov.om).

The Bonds are direct and unconditional obligations of the Government of 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 66th GDB issue is offered to all investors, residents, and non-residents (irrespective of their nationality).