Oman-based Bank Muscat has cancelled a OMR15 million (Dh143m) certificates of deposit auction set for April due to an ongoing bond issue, it said yesterday.
"Bank Muscat will not be conducting the CD auction in April. This decision was taken to avoid any possible conflict between the CD and bond issue," Bank Muscat said in a statement.
Bank Muscat said last year it would issue OMR250m in CDs through an auction in a move supported by Oman's central bank to encourage saving. CDs are a financial product to encourage saving, with a specific fixed term and usually a fixed interest rate.
The bank has since launched seven-year subordinated bonds to raise OMR60m at an interest rate of eight per cent a year, it said earlier.
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