Golden Jubilee savings bond offer period extended

Accra, March 21, GNA - The overwhelming interest of Ghanaians in the Diaspora for the Golden Jubilee Savings Bonds has compelled Government to extend the offer period to June 30, 2008.

The lead managers of the offer, Strategic African Securities (SAS) Finance Group stated this in an interview with the Ghana News Agency on Friday.

Mr Mawuli Hedo one of the Advisors on the bond issue said: "The extension is in response to the significant interest shown by Ghanaians in the diaspora and their overwhelming request for the offer period to be extended."

He said the extension would also provide the opportunity to most Ghanaians to invest in the bond.

The keen interest by people in the Diaspora was realised when in February last month, official from government and advisors of SAS Finance Group visited some countries in Europe and North America to market the bonds. The five-year long term has an effective annual interest rate of 16.1 percent. The delegation, which comprised Dr. Sam Mensah, the Technical Advisor to the Minister of Finance and Economic Planning, Mr. Edward Abrokwah also of the Ministry and Mr. Malwuli Hedo and Edem Avotri both of SAS Finance Group launched the bonds in the United Kingdom, Germany, USA and Canada.

Mr Hedo said Ghanaians in Europe and North America who did not get the opportunity to invest during the initial offer period, could do so now through the Ghanaian Embassies in United Kingdom, Germany, Washington, New York, Toronto and Ottawa. "It is a wonderful opportunity for every Ghanaian to grow their wealth," he said and noted that interest on the bonds starts accruing from the day of purchase until redemption date. Government aimed at raising GH¢50 million to embark on infrastructural development in every region in the country. The bond has a face value of GH¢10 and in multiples of GH¢10 thereafter with an interest rate to be fixed at the prevailing 5-year Government of Ghana rate on the issue date for investors. Retail investors would receive additional interest of 0.5 percent plus the prevailing rate on the Government of Ghana 5-year Bond. It has a minimum holding period of three (3) years after, which they might be redeemed at face value plus accrued interest. There is an early redemption charge of 1.5 percent in the fourth (4th) year and 1 percent in the fifth (5th). 21 March 08