Romanians who want to place their savings in treasury bonds are paid 8.25% for one-year bonds and 8.6% for three-year bonds under the scheme Tezaur during July (4-27).

The coupons attached to the bonds issued in June, with the same maturities, were 7.2% and 7.4%, respectively.

However, the bonds issued in June (at lower yields) under the scheme Fidelis are traded on the Bucharest Stock Exchange (BVB), meaning they can be cashed at any time.

The bonds issued in July under the Tezaur scheme are not listed at BVB, but they can be redeemed in advance at request by the Treasury, under certain terms, including that the redemption is done at face value (accrued interest is lost).

The latest CFA Association poll carried out in May indicated expectations for consumer price inflation of 9.5% over the coming 12 months.

On the other hand, the bank deposit interest rates are still low compared to the yields generated by the Treasury bills - which, furthermore, are not subject to the 10% income tax, as the interest generated by the bank deposits is.

(Photo: Iyna Drozd/ Dreamstime)

andrei@romania-insider.com