KATHMANDU: The Central Bank, Nepal Rastra Bank (NRB), is issuing development bonds worth Rs 5 billion today, Monday.
The development bond 2075 ‘F’ with a maturity period of 6 years is being issued by Public Debt Management Department, NRB, to accumulate internal loan for development works of the government.
According to the NRB, interested Banks and Financial Institutions (BFIs), non-banking financial institutions, insurance companies, organized institutions and Nepali citizens can apply for the development bonds.
The interested parties can participate in both competitive and non-competitive auction. The central bank has allocated 85 percent of issued development bonds for competitive and 15 percent for non-competitive auction.
The bidders can bid for a minimum of 50,000 and maximum of all amounts divisible by 50,000 by 3 pm Tuesday.
The interest rate of the bond will be fixed on the basis of bidding while the interest will be paid semiannually. The bond is tradable in the secondary market and can be kept as collateral in BFIs.
Similarly, the Central Bank is to issue treasury bills worth Rs 18.01 billion tomorrow, Tuesday.
NRB is to issue 91 days treasury bills worth Rs 9.10 billion and 365 days treasury bills worth Rs 8.91 billion.
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