The Central Bank of Egypt (CBE) is offering on Monday treasury bonds (T-Bonds) with fixed coupon in Egyptian pound worth 2.75 billion pounds in coordination with the Ministry of Finance, according to a statement on its website.
The auctioned bonds are divided into two offerings. The first offering is for 2.5 billion for a period of three years and the second offering is for 0.25 billion pounds for five years with a coupon rate of 16.1 per cent.
A coupon is an annual interest. Investors receive a coupon payment, either annually or biannually, from issuance until maturity, if they hold the bond, according to DailyForex website.
Investors get the coupon rate, expressed as a percentage of the face value of the bond, and the coupon payments as a fixed value, irrelevant to changes in the bond price. While the initial coupon rate remains fixed, bond yields fluctuate.
