Feb 2017 Financial News

BOJ offers USD certificates of deposit

Feb 06, 2017

The Bank of Jamaica said it will be offering three US dollar certificates of deposit (CDs) to the market between February 9 and 15.

However, the Bank said it reserves the right to close the offer before 12:30 p.m. on Wednesday, February 15, the final date for receiving bids.

The offer on one of the instruments is for an unlimited amount with a tenor of three years, and a fixed coupon of 2.65 per cent per annum, which is 1.16 percentage points above the current rate of 1.49 per cent on three-year US Treasury.

Another of the instruments is for an unlimited amount with a tenor of five years and offers a fixed coupon of 3.6 per cent per annum or 1.67 percentage points above the current rate of 1.93 per cent on five-year US Treasury.

The third is also for an unlimited amount with a tenor of seven years and offers a fixed coupon of 4.3 per cent per annum or 2.03 percentage points above the current rate of 2.27 per cent on seven-year US Treasury.

All the coupons are paid semi-annually.

The instruments are available directly to primary dealers and commercial banks. Other investors may access them through a primary dealer.

Source:
mcpherse.thompson@gleanerjm.com
Jamaica Gleaner
Monday February 6, 2017

http://jamaica-gleaner.com/article/business/20170206/boj-offers-usd-certificates-deposit