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ZF English

Investors rush to secure fixed interest rates

31.08.2004, 00:00 8



Interest rates on government securities are continuing to follow their downward trend. Expectations regarding the persistence of this tendency have been periodically strengthened by signals from the NBR, though banks are late in adjusting their offers to customers. This is increasing investors' interest in securing fixed interest rates, especially for one-year periods - deals which they are unlikely to come across later. The Ministry of Public Finances is offering a 14.5% fixed interest rate per year for a new issue of treasury certificates maturing in three months, destined to individuals. These will be sold starting today, until September 30th. Banks are more generous when it comes to deposits made by individuals, with the average offer standing at between 15% and 15.5% per year. The interest rate granted by banks for deposits can be adjusted, however, depending on the evolution of the market. For government securities sold on the interbank market during the latest auction (August 3), the Finance Ministry agreed to pay a fixed interest rate of 16.91% per year. For certificates maturing in six months, the ministry pays a yearly fixed interest of 15%. ZF



 

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