Muscat: The total issuance of Government Treasury Bills for this week reached RO 83 million, with varying maturity periods and allotment values. The details of the tender results highlight significant financial activities in the short-term securities market.

According to Oman News Agency, the Treasury bills allotted for a 28-day maturity period amounted to RO 10 million. The average accepted price was RO 99.685 per RO 100, with both the minimum accepted price and average price being the same. The average discount rate was recorded at 4.10625%, while the average yield stood at 4.11923%.

In contrast, the 91-day maturity period saw Treasury bills allotted at RO 37.5 million. The average accepted price for these bills was RO 98.891 per RO 100, with the minimum accepted price at a close RO 98.890 per RO 100. The average discount rate and yield were reported at 4.44792% and 4.49780%, respectively.

For the 182-day maturity period, Treasury bills worth RO 35.5 million were allotted. The average accepted price was
RO 97.721 per RO 100, with the minimum accepted price slightly lower at RO 97.715 per RO 100. The average discount rate was calculated at 4.57083%, and the average yield was noted to be 4.67744%.

These Treasury Bills, issued by the Ministry of Finance, offer licensed commercial banks a secured avenue to invest their surplus funds. The Central Bank of Oman (CBO) manages these issuances, providing liquidity through discounting and repurchase facilities. The Repo operations with CBO are set at an interest rate of 5.25%, while the discount rate on the Treasury Bills Discounting Facility is 5.75%.

Treasury Bills not only serve as a financial instrument for short-term investment but also contribute to establishing a benchmark yield curve for short-term interest rates, aiding the local money market. Additionally, the Government utilizes these instruments to finance recurrent expenditures as needed.