Egypt's Ministry of Finance issues today، Sunday، two treasury bonds worth EGP 14.5 billion.
The first Treasury bond is worth 6.75 billion pounds with 91 days to maturity، while the second is worth 7.75 billion pounds with 266 days to maturity، according to Egypt’s Central Bank’s Treasury Auctions T-bonds.
The ministry has taken the step to boost the country's economy and narrow the funding gap amid severe shortage in funding projects in Egypt.
Noteworthy، A Treasury bond (T-Bond) is a marketable، fixed-interest U.S. government debt security with a maturity of more than 10 years. Treasury bonds make interest payments semi-annually، and the income received is only taxed at the federal level. Treasury bonds are known in the market as primarily risk-free; they are issued by the U.S. government with very little risk of default، according to investopedia.
Treasury bonds are one of four types of debt issued by the U.S. Department of the Treasury to finance the government’s spending activities. The four types of debt are Treasury bills، Treasury notes، Treasury bonds and Treasury Inflation-Protected Securities (TIPS). The securities vary by maturity and coupon payments. All of them are considered benchmarks to their comparable fixed-income categories since they are virtually risk-free، backed by the U.S. government، which can raise taxes and increase revenue to ensure full payments. These investments are also considered benchmarks in their respective fixed-income categories as they offer a base risk-free rate of investment with the categories' lowest return