Last Updated on Thursday, 9 July, 2020 at 9:52 am by Andre Camilleri
As announced by the Minister for Finance and Financial Services on 30 June, the Accountant General is launching another issue of the 62+ Malta Government Savings Bond for the elderly born during the year 1958 or before. The amount on issue shall be €60,000,000, subject to an overallotment option of an additional amount up to a maximum of €35,000,000.
The terms of the issue are very similar to the terms and conditions of the 62+ Malta Government
Savings Bonds issued in the past three years. The Bond earns interest at a fixed rate of 3% per annum for the whole five-year term of the Bond maturing in the year 2025. The Bond shall be issued at par in units of €100 and cannot be negotiated, assigned, transferred onto any other individual or pledged.
Interest is paid semi-annually in arrears on 21 January and 21 July in every year during the term of the Bond. Bondholders may withdraw the whole amount invested before the maturity date subject to a penalty equivalent to three months gross interest on the principal amount withdrawn at the interest rate of the bond.
Applications from eligible investors for a minimum amount of €500 up to a maximum of €10,000 per person open on Wednesday, 15 July at 8.30am and close the next day at 5pm on Thursday, 16 July, or earlier at the discretion of the Accountant General. Subscriptions in the bond are to be made in the sole name of the applicant.
New eligible applicants in the 62+ Malta Government Savings Bond made up of (i) individuals born in the year 1958 and (ii) individuals who were eligible to apply in the past issuances of the 62+ Malta Government Savings Bond but did not apply, may download the application form from the Treasury Department’s website at www.treasury.gov.mt or obtain and lodge the application form at one of the authorised financial institutions and authorised investment service providers. The allocation policy shall give preference to new eligible applicants who have not yet invested in the 62+ Malta Government Savings Bond.
Individuals who participated in any previous issuance of the 62+ Malta Government Savings Bond are also eligible to apply. To this effect they shall be receiving an information letter and an application form with their own details from the Accountant General. The existing holders of the 62+ Malta Government Savings Bond who are interested to apply for this new 62+ Savings Bond may lodge their application form at one of the authorised financial institutions or authorised investment service providers.
More information can be found in the prospectus which is now available and can be downloaded from the Treasury’s website at www.treasury.gov.mt