Bot To Issue 30bn Bt Of Bonds To Absorb Liquidity

[george]

BOT to issue 30bn bt of bonds to absorb liquidity

BANGKOK: -- The Bank of Thailand plans to issue 2-year maturity bonds worth 30 billion baht in the May-July period to absorb the liquidity in the financial system so that it could be adjusted properly.

Chittima Duriyapraphan, Senior Director of the BOT’s Financial Market & Reserve Management Department, said there exists high demand for investment in the medium- and long-term bonds in the money market at present.

As a result, the central band had decided to issue 30 billion baht of bonds with a 2-year maturity and a fixed interest rate during May and July.

The bond issuance served as a financial tool to manage the liquidity in the financial system and an alternative investment option in the local secondary market, she said.

The interest rate of the bonds will be determined on 16 May and be paid twice a year on 19 May and 19 November. The redemption of the bonds could be made on one time on 19 May 2007. The return rate on the bonds averages 2.89%.

The first bidding of the bonds will be opened on 17 May for financial institutions, institutional investors, and pubic organizations. Six biddings will be organized, each of which will be made for 5 billion baht of bonds.

--TNA 2005-04-28

[Nordlys]

BOT to issue 30bn bt of bonds to absorb liquidity 

BANGKOK: -- The Bank of Thailand plans to issue 2-year maturity bonds worth 30 billion baht in the May-July period to absorb the liquidity in the financial system so that it could be adjusted properly.

Chittima Duriyapraphan, Senior Director of the BOT’s Financial Market & Reserve Management Department, said there exists high demand for investment in the medium- and long-term bonds in the money market at present.

As a result, the central band had decided to issue 30 billion baht of bonds with a 2-year maturity and a fixed interest rate during May and July.

The bond issuance served as a financial tool to manage the liquidity in the financial system and an alternative investment option in the local secondary market, she said.

The interest rate of the bonds will be determined on 16 May and be paid twice a year on 19 May and 19 November. The redemption of the bonds could be made on one time on 19 May 2007. The return rate on the bonds averages 2.89%.

The first bidding of the bonds will be opened on 17 May for financial institutions, institutional investors, and pubic organizations. Six biddings will be organized, each of which will be made for 5 billion baht of bonds.

--TNA 2005-04-28

<{POST_SNAPBACK}>

How can I as an individual investor buy treasury bond?

Last time the banks made announcement we went to the bank at 10AM and was told it was all sold out by 9AM. I was even told most of the bond went to the "influential investors" and there wasn't even a quota for ordinary individual investors like myself.

[erictan]

BOT to issue 30bn bt of bonds to absorb liquidity 

BANGKOK: -- The Bank of Thailand plans to issue 2-year maturity bonds worth 30 billion baht in the May-July period to absorb the liquidity in the financial system so that it could be adjusted properly.

Chittima Duriyapraphan, Senior Director of the BOT’s Financial Market & Reserve Management Department, said there exists high demand for investment in the medium- and long-term bonds in the money market at present.

As a result, the central band had decided to issue 30 billion baht of bonds with a 2-year maturity and a fixed interest rate during May and July.

The bond issuance served as a financial tool to manage the liquidity in the financial system and an alternative investment option in the local secondary market, she said.

The interest rate of the bonds will be determined on 16 May and be paid twice a year on 19 May and 19 November. The redemption of the bonds could be made on one time on 19 May 2007. The return rate on the bonds averages 2.89%.

The first bidding of the bonds will be opened on 17 May for financial institutions, institutional investors, and pubic organizations. Six biddings will be organized, each of which will be made for 5 billion baht of bonds.

--TNA 2005-04-28

<{POST_SNAPBACK}>

How can I as an individual investor buy treasury bond?

Last time the banks made announcement we went to the bank at 10AM and was told it was all sold out by 9AM. I was even told most of the bond went to the "influential investors" and there wasn't even a quota for ordinary individual investors like myself.

<{POST_SNAPBACK}>

Not too sure how the bonds work in thailand... but normally bonds are sold to major market players from the issuers in the primary market (stock exchange or private placement), then they are resold to secondary market (active OTC market) where other investors can trade with each other.

Can any local traders here clarify?