Skopje, 13 July 2023 (MIA) – Thursday’s first auction for the popular bond saw 1.283 citizens invest a total of Mden 1.448.030.000 (EUR 23 million), double the amount published in the bond’s prospectus.

“There was great interest in this new innovative product on the financial market. The citizens recognized their interest and used the opportunity to invest in a risk-free product that carries an attractive yield, safeguarding the value of their funds at a time of high inflation,” assessed Minister of Finance Fatmir Besimi.

The benefits of the introduction of this instrument on the market, according to Besimi, are manifold. Apart from benefits for the citizens, the Finance Minister said that investing in these bonds contributes to the growth of the domestic economy since the funds will be aimed at already planned development projects. Additionally, according to the Minister, the bonds will contribute to the reduction of the informal economy.

The minimal amount that the citizens were able to invest in the bond was Mden 10.000, without an upper limit. The process was led through the corporate banks.

“The auction concludes the process of issuing a popular bond, and will now be followed by a procedure of registering the popular bond in the Central Securities Depository. The citizens will receive the interest yield of their investment on July 20, 2024, for the first year, and on July 20, 2025, for the second year, when they will receive their complete investment. The interest rate stands at 5 percent annually, and it is fixed to a two-year maturity period, which means that the citizens will receive a 10 percent yield on their investment,” said the Ministry of Finance.

Photo: Ministry of Finance