VOL. XXXVII

NO. 1

4-OCTOBER-1993

Financial and Banking News

FINANCIAL POLICY

Oman Cuts Maximum Lending Rate

The Central Bank of Oman announced on 26 September that the maximum lendingrate was being reduced by 0.5% to 10.75%, effective from 1 October. This is thefirst change in the maximum lending rate since 1989, but it will have littleimpact on the banking system since few borrowers are ever charged the maximumrates. A more typical interest rate is 9.5-10%.

The Central Bank also announced new...