Feb 26 • 13:15 UTC 🇸🇰 Slovakia Denník N

Starting Monday, the state will again begin selling bonds for people. Last year they sold out quickly

The Slovak government is set to relaunch the sale of bonds for the public with lower interest rates than last year, aiming to make them an attractive investment alternative amid changing market conditions.

Starting March 2, the Slovak government will reissue public bonds under the names Investor II and Patriot II, offering interest rates of 3% and 2.7%, respectively. This is a decrease from last year's rates, adjusted to reflect current financial market conditions. The bonds gained immense popularity in the previous year, selling out in just three and a half days. The government increased the volume of emissions from an initial 400 million to 500 million euros due to high demand. The strong interest among older demographics was notable, particularly among those aged 65 and above, who constituted the largest group of investors.

Finance Minister Ladislav Kamenický has advised this year's potential buyers to prepare in advance by ensuring they have both personal and asset accounts open at the banks selling the bonds. The bonds are said to offer better returns than term deposits in banks and are tax-exempt, making them especially appealing to investors seeking secure, low-risk investments. The rush to purchase these bonds last year saw long lines at bank branches, particularly among older people, reflecting a trend of increased interest in stable investment options amidst fluctuating economic conditions.

With the ongoing instability in financial markets, these bonds are positioned as a safe alternative for investors who may be hesitant to place their money in riskier ventures. The government aims to attract both individual and institutional investors, framing these offerings as a means to support the national economy while providing citizens with a lucrative investment option. As the release date approaches, banks are preparing their services to accommodate an influx of interest from potential bondholders, particularly from the older population which has historically shown a strong preference for stable investments.

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