Muscat: The growth was driven by a remarkable 24.8% rise in narrow money, coupled with an 8.4% increase in quasi-money. Quasi-money, which includes savings deposits, time deposits, certificates of deposit, margin accounts, and foreign currency deposits, played a significant role in the uptick.
While demand deposits saw a robust increase of 33.2%, cash held by the public dropped by 5.9% over the same period.
On the interest rate front, conventional commercial banks experienced moderate increases. The weighted average interest rate on deposits in Omani riyals rose from 2.531% in October 2023 to 2.709% in October 2024. Loan interest rates followed suit, increasing from 5.452% to 5.628% during the same timeframe.
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In contrast, the overnight interbank lending market witnessed a notable decline, with average interest rates falling from 5.584% in October 2023 to 4.681% in October 2024. This was attributed to a decrease in weighted average interest rates on repurchase operations, aligning with US Federal Reserve policies.
