15.2% Growth in Broad Money Supply in Oman

Oman’s broad money supply witnessed a 15.2% year-on-year growth, reaching 24.2 billion Omani rials by the end of March 2024.

According to the Oman News Agency, this increase was driven by a 9.2% rise in narrow money and a 17.5% increase in quasi-money. Narrow money includes time deposits and certificates of deposit issued by banks, while quasi-money includes savings deposits, margin guarantee accounts, and foreign currency deposits in the banking sector.

During the same period, currency outside banks decreased by 2.5%, while demand deposits saw a 12.4% increase.

Regarding the interest rate structure at conventional commercial banks, the weighted average interest rate on deposits in Omani rials increased from 2.124% in March 2023 to 2.642% in March 2024.

Similarly, the weighted average interest rate on loans in Omani rials increased from 5.381% to 5.563% during the same period.

In the interbank lending market for overnight transactions, the average interest rate rose to 5.086% in March 2024 compared to 5.073% in March 2023. This increase was due to a rise in the weighted average interest rate on repurchase agreements to 6% from 5.323% in the same period last year, aligning with the policies of the Federal Reserve.

Source: 15.2% Growth in Broad Money Supply in Oman (mubasher.info)