Oman central bank raises repo rate slightly

Policy rate climbed to 1.244% from 1.195%

  
Image for illustrative purpose only. An investor works on his computer above the trading floor of the Muscat Securities Market (MSM) in the Commercial Business District of Ruwi in Muscat

Image for illustrative purpose only. An investor works on his computer above the trading floor of the Muscat Securities Market (MSM) in the Commercial Business District of Ruwi in Muscat

REUTERS/STR New
DUBAI, Dec 22 (Reuters) - 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 percent from 1.195 percent. It has been edging up in the last few months from the 1.00 percent 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.

(Reporting by Andrew Torchia; Editing by Biju Dwarakanath) ((andrew.torchia@thomsonreuters.com; +9715 6681 7277; Reuters Messaging: andrew.torchia.thomsonreuters.com@reuters.net))

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