Oman’s government has received an overwhelming response from investors for this year’s first development bonds issuance worth RO100mn.
Announcing the auction result for the 66th government development bonds issue, the Central Bank of Oman on Wednesday said that the new development bonds issuance has been oversubscribed by nearly 1.5 times.
‘The 66th government development bonds issue, which received overwhelming response from investors, has received applications in excess of over RO49.619mn at RO149.619mn against the issue size of RO100mn,’ the central bank said in a statement.
The value of the new development bonds issue was fixed at RO100mn with a maturity period of three years and the bonds carry a coupon rate of 4.75 per cent per annum.
The bonds issue was open for subscription from January 10 to January 17, 2021. The bonds were issued on Wednesday.
The average yield came at 4.86 per cent at an equivalent price of RO99.695, while the highest yield was 5.03 per cent at an equivalent price of RO99.230 and the lowest was at 4.55 per cent at an equivalent price of RO100.555.
The interest on the 66th government development bonds will be paid semi-annually on July 20 and January 20 every year until maturity date on January 20, 2024.
The bonds issue was offered to all investors, residents and non-residents (irrespective of their nationality).
The government development bonds are direct and unconditional obligations of the government of the Sultanate of Oman, represented by the Ministry of Finance.
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