USF Monetary and Financial System of the Central Bank of Oman Essay

First report: Credit disbursement by banks rises

P1: Muscat: Review of the activities of conventional banks indicates an annual growth in total outstanding credit disbursement of 4.4 per cent at the end of April 2019. Credit to the private sector grew by 2.1 per cent to OMR18.9 billion. Conventional banks’ (Bank Muscat, NBO) overall investments in securities (Shares, Stocks, Bonds, Treasury Bills) increased by 9.0 percent to OMR3.4 billion. Investment in Government Treasury Bills (GTBs) stood at OMR290.5 million at the end of April 2019.

P2: Aggregate deposits held with conventional banks increased by 4.7 per cent to OMR19.8 billion in April 2019 from OMR18.9 billion a year ago. Government deposits with conventional banks increased by 10.3 per cent to OMR5.7 billion, while deposits of public enterprises increased by 23.8 per cent to OMR1.1 billion during the same period.

P3: Private sector deposits, which accounted for 64 percent of total deposits with conventional banks, increased marginally by 2.2 per cent to OMR12.7 billion. The core capital and reserves of conventional banks at the end of April 2019 stood at OMR4.9 billion.

Read the above report and write an assignment based on the following tasks:

(a) Briefly introduce monetary and financial system of Central Bank of Oman (CBO) in the report (10 marks).

(b) Discuss the importance of financial market for the country and analyse the growth of

investment in securities (financial assets) in financial market mentioned in the report (25 marks). Week1 + Week 7 (most important)

(c) Make comments how effective investment in securities (financial assets = Week1) improves economic growth of the country based on the report (25 marks). Week1 + Week 7 (most important) + P1 = . Investment in Government Treasury Bills GTBs, (financial assets)

(d) Discuss roles and functions of conventional banks (Week 5 + P2 &P3) in managing the primary business risks (Week2) arising from financial markets (Week 7) based on the report (30 marks).

(e) Provide a conclusion (conclude information from task a, b, c, and d ) with the logical flow of information given in the assignment report (10 marks)

check the attached file for additional information and requirements

plagiarism free

2000 words (no less than 2000 words)

Week 5 is your answer to Task D conventional bank