A significant number of individuals are seizing the opportunity to invest in the newly issued one-year bond by the Belgian government. The Federal Debt Agency announced
on Thursday afternoon that a total of over 19.55 billion euros has already been invested in this venture.
Launched on August 20, the bond offers an attractive net interest rate of 2.81 percent. Interested parties can engage in investment through the Federal Debt Agency or one of the 13 participating banks.
As of this afternoon, financial institutions have contributed more than 11.12 billion euros, alongside an additional 8.43 billion euros from direct investments. The average individual investment amount surpasses 33,000 euros.
Today, being Thursday, marks the final opportunity for individuals to deposit their funds with the agency, with the cutoff set at midnight. Payments must be credited to the Agency's account by tomorrow, which is Friday.
The Agency has yet to observe any deceleration in the pace of investment. Thanks to a reduced withholding tax, the government bond promises a compelling net yield of 2.81 percent.
The purpose behind the one-year bond is to incentivize banks to elevate the interest rates on savings accounts. By introducing a competitive product with appealing returns, Belgium aims to motivate banks to offer their customers a more substantial return on their savings. Photo by MADe at Dutch Wikipedia.