Central Bank of Oman announces OMR100m bond issue

Muscat: Central Bank of Oman (CBO) will open for subscription the 50th issue of OMR100 million government development bonds (GDBs) with a maturity period of six years. It will carry a coupon rate of five per cent per annum.
The issue will be open for subscription from September 18 to September 26. The auction will take place on September 28 and the issue settlement date will be on October 3. Interest on the new bonds will be paid semi-annually on April 3 and October 3 every year until maturity date on October 3, 2022.
Investors may apply for the bonds through the competitive bidding process only. Bids can be submitted through commercial licensed banks operating in the Sultanate of Oman, says the CBO bulletin
Applicants with an investment of OMR1 million or above can submit their bids directly to CBO, if they wish, after getting them endorsed from their banks. Prospectus and application forms can be obtained from any commercial licensed bank operating in Oman.
The bonds are direct and unconditional obligations of the Government of the 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).
Details of bonds allotted will be recorded in the register maintained by Muscat Clearing & Depositary (MCD). Investors must provide the same bank account details registered with MCD in order to ensure the smooth process of their bids and the receipt of the coupon payments and principal amount on their scheduled dates.
The issue is offered to all investors, residents and non-residents (irrespective of their nationality).