Central Bank of Oman reduces Repurchase Agreement rate by 25 basis points to 4.25 percent

Decision

Lower

Rate change

25 bps

repo rate

4.25%

The Central Bank of Oman cut its repurchase agreement (repo) rate for local banks by 25 bp to 4.25%, effective tomorrow, citing the need to support its fixed exchange-rate regime and lower domestic financing costs to spur economic activity. By reducing the cost of funding, the central bank expects higher investment and consumption, while the peg continues to deliver currency stability, discourage irregular cross-border capital movements and underpin investor confidence by eliminating exchange-rate risk.