Oman central bank raises repo rate slightly
* Overnight repurchase rate climbed to climbed to 1.244 per cent from 1.195 per cent
* Repo rate was 1.00 per cent for many years
Oman’s central bank raised its overnight repurchase rate slightly in the wake of the U.S. Federal Reserve’s monetary tightening last week, data provided by the central bank showed on Thursday.
The policy rate, which is determined by a formula based on the London interbank offered rate, climbed to 1.244 per cent from 1.195 per cent. It has been edging up in the last few months from the 1.00 per cent level where it was for years.
Central Bank of Oman Executive President Hamood Sangour al-Zadjali told Reuters last week that it wouldn’t automatically imitate the 0.25 percentage point rate hike by the U.S. Federal Reserve, because although the Omani rial was pegged to the U.S. dollar, the countries had different economic cycles.