Romanian gov't to continue issuing bonds for individual investors in June

Romania's Ministry of Finance (MF) is starting today issuing three new issues of government securities under its Tesaur programme with maturities of 1, 3 and 5 years and interest rates of 2.95%, 3.35% and 3.65%, according to a statement from the ministry.

The government securities will have a face value of 1 lei and are in a dematerialised form.

"Government securities issued under the Tezaur programme continue to be a cost-effective way for the individuals investors. Therefore, I encourage all individuals with cash to consider this programme and subscribe for the Tezaur securities at the Romanian Treasury offices or the Romanian Post officies," says Finance Minister Alexandru Nazare.

Government securities are available for purchase June 7 - 28, 2021 at the State Treasury offices, and June 7 - 24 June 2021 for rural areas and June 7 - 25 June 2021 for urban areas at the Romanian Post offices.

Interest is annual, payable at the terms mentioned in the prospectus.

Also, government securities issued under the Tezaur programme are transferable and can be redeemed in advance. An investor may make one or more subscriptions in an issue. Investors have the possibility to cancel subscriptions already made only during the subscription period, by submitting an application.

Individuals who have reached the age of 18 at the date of the subscription are eligible.

The income derived from investing in the savings offer released by the Ministry of Finance is non-taxable.

The funds raised by MF as an issuer, as a result of the issuance of government securities, will be used to finance the government budget deficit and refinance public debt.