As announced by the Minister for Finance Edward Scicluna on 20 February, the Accountant General is launching another issue of the 62+ Malta Government Savings Bond for the elderly born during the year 1957 or before. The amount on issue shall be €65,000,000, subject to an over-allotment option of an additional amount up to a maximum of €35,000,000.
The 62+ Malta Government Savings Bond earns interest at a fixed rate of 3% per annum for the whole five-year term of the bond maturing on 2024. 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 20 March and 20 September 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before the maturity date subject to a penalty equivalent to three months gross interest on the principal amount withdrawn at the interest rate of the bond.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, 13 March at 8.30am and close the next day at 5pm on Thursday, 14 March, 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 1957 and (ii) individuals who were eligible to apply in the past issuances of the 62+ Malta Government Savings Bond held in 2017 and 2018 but did not participate, may download the application form from the Treasury Department's website at www.treasury.gov.mt or obtain and lodge the application form at 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 Bonds that were issued in the past two years.
Individuals who participated in the 62+ Malta Government Savings Bond issuances held in 2017 and 2018 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 in applying for this new 62+ Savings Bond may lodge their application form at 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 www.treasury.gov.mt