Is anyone willing to invest at 0%? 15-year bonds with no yield are being auctioned

On 1 August, an auction was held for the placement of 15-year government treasury bonds, which resulted in a zero yield. The National Bank reported that all successful bids were accepted at a rate of 0% per annum.

This refers to the issue of treasury bonds with registration number GBA15400804 in the amount of 4 billion KGS. The securities will be issued on 4 August and redeemed on the same date in 2040.

Interestingly, despite the absence of coupon payments, they are scheduled twice a year — on 4 February and 4 August.

It should be noted that this is the third issue of 15-year bonds by the Ministry of Finance this year. Previously, an auction was held on 27 June, when securities were placed for 60 billion KGS at 3% per annum, and before that, on 25 April, for 5.8 billion KGS at the same interest rate.