KATHMANDU, Feb 26: The government is set to sell Rs 3 billion worth of citizen savings bonds again to raise internal debt.
The Public Debt Management Office (PDMO) published a notice on Wednesday, informing that those who wish to purchase savings bonds can apply from February 27 to March 28. The annual interest rate of this savings bond is 7 percent. The buyer can apply for an amount equal to the remainder when dividing by 10,000, as long as the amount is not less than 10,000 and does not exceed the maximum limit of the total released amount.
It is stated that Nepali citizens and non-resident Nepalis can purchase the bond. The savings bond will be issued after receiving the specified amount by March 31 at the latest, according to the office's notice.
The bond, named Citizen Savings Bond 2086, will mature in five years. If a loan can be taken by pledging this bond, the interest on the bond will be paid semi-annually.
Similarly, the government is selling foreign employment savings bonds worth Rs 500 million. The PDMO stated that those who wish to purchase savings bonds can apply between February 27 to March 28. The interest rate on savings bonds has been fixed at 8.5 percent.
All interested buyers can apply for an amount equal to the remainder when dividing by 10,000, as long as the amount is not less than 10,000 and does not exceed the maximum limit of the total issued amount.
Nepali citizens or non-resident Nepalis who have not completed six months of engaging in foreign employment or returning from employment abroad can purchase savings bonds in their own name or in the name of their family. The bond, named Foreign Savings Certificate 2086, will mature in five years.