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Oman to issue large government bonds

Islamic Finance Oman

November 17, 2012 9:49 by

Oman will issue five-year government development bonds worth 100 million rials ($260 million) at an annual interest rate of 3.25 percent, a statement from the central bank of Oman said on Saturday.

The subscription of the bonds will start on November 18 and last until November 29. An auction will take place on December 3, the statement said.

Interest on the bonds will be paid on June 5 and December 5 every year until maturity is reached on December 5, 2017.

The bonds will be traded in the Muscat Securities Market.

The central bank statement did not elaborate on the reason for the sale, but in the past Omani bonds have been used to fund infrastructure projects.



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