Oman Central Bank Circular No. BM527/1989

Rediscount Rates Applicable on Commercial Papers Presented to Central Bank of Oman

Subject: Rediscount Rates Applicable on Commercial Papers Presented to Central Bank of Oman

With reference to Articles 2-1.09 (c) and 2-2.03 of Banking Law, 1974 and with reference to Oman Regulation No. BM/REG/018/12/79 and Oman Regulation No. BM/REG/031/3/89 concerning the Purchase, Discount and Rediscount of Commercial Paper, and in particular to Article 37 of the Regulation and with reference to Oman Central Bank Circular No. 440/1986 dated 22/1/1986, the Board of Governors of the Central Bank of Oman decided as follows: -

Article 1

The rates at which the Central Bank of Oman shall discount or rediscount Commercial Paper submitted by licensed banks:

Discount / Rediscount Rate

i. Commercial Paper (Bill of Exchange and Promissory Note) with two signatures

6.25%

ii. Commercial Paper (Bill of Exchange and Promissory Note) with one signature and an acceptable security or a personal Guarantee in a separate document

6.75%

iii. Promissory Note with one signature only accompanied by a Trust Receipt

7.25%

iv. Mobilization notes under “Rediscount and Advance Facility with one signature only”

7.50%