Oman’s broad money supply grows by 13.9 percent

Muscat: The broad money supply in Oman witnessed a growth of 13.9 percent on an annual basis to reach OMR24.7 billion by the end of September 2024.

This increase came as a result of the increase in narrow money by 18.2 percent and quasi-money by 12.3 percent, which consists of the total savings deposits and time deposits in Omani riyals plus certificates of deposit issued by banks in addition to margin accounts and all foreign currency deposits in the banking sector.

Cash held by the public decreased by 6.7 percent at the end of last September, while demand deposits increased by 25.1 percent.
Interest rate

With regard to the interest rate structure of conventional commercial banks, the weighted average interest rate on deposits in Omani riyals increased from 2.453 percent in September 2023 to 2.679 percent in September 2024, while the weighted average interest rate on loans in Omani riyals increased from 5.451 percent to 5.604 percent during the same period.

The average overnight interbank lending rate reached 4.896 percent in September 2024 compared to 5.388 percent in September 2023, as a result of the weighted average repo rate declining to 5.790 percent compared to 6.000 percent during the same period last year, in line with the US Federal Reserve’s policies.