The interest rates for Belgian Government bonds being issued next month have been set at 2.20% for a one-year bond, and 2.80% for an eight-year bond.
The Federal Debt Agency confirmed the rates on Thursday, for bonds which are set to be issued on 4 December.
People buying bonds lend their money to the Belgian Government for an agreed number of years, and in exchange, the State pays lenders an agreed amount of interest, in addition to repaying the initial loan.
The subscription period for the latest State bonds will open on Monday 25 November, and will last until Monday 2 December through the Grand-Livre service, and until Tuesday 3 December for those subscribing via placement institutions.
The new one-year bond is less attractive than the one issued in September of this year, which offered a 2.75% rate and raised €382.715 million.
A ten-year bond (with a coupon rate of 2.8%, and a net interest rate of 1.96%) was also issued two months ago, which raised €19.809 million.
Last year, a special one-year State bond was released in September with an interest rate of 3.30% as a last-ditch attempt to push banks to increase their interest rates on savings accounts.
It was the most successful operation in Belgian history, in terms of raising capital through citizen investment, as the bond raised close to €22 billion.
