Excess liquidity floods Oman market

MUSCAT - Excess liquidity continues to flood Oman's market for the third year running and financial analysts said that credit interest rates must come further down to encourage private investors to borrow more.

By From Our Special Correspondent

Published: Sun 13 Apr 2003, 1:39 PM

Last updated: Wed 1 Apr 2015, 7:39 PM

Ahmed al-Lawaty, an independent analyst said, "Investors are not borrowing seriously and that is why banks are brimming with extra cash."

He added that the government must also drop its borrowing cap to mop up the excess funds.

"The government needs to borrow more to suck up these funds because private investors are reluctant to do so," Lawaty said.

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