China to float 30 billion yuan in e-savings bonds

BEIJING - China's Ministry of Finance (MOF) announced Friday that it will issue two batches of electronic savings bonds worth up to 30 billion yuan ($4.78 billion).

The two batches will be the third and fourth issues of such bonds this year, according to a statement on the ministry's website.

The third batch is worth 21 billion yuan and carries a term of three years with a fixed annual interest rate of 5.58 percent, while the fourth issue of five-year bonds is worth 9 billion yuan at a fixed annual interest rate of 6.15 percent, the MOF said.

The bonds will be issued from May 10 to 23, with interest to be calculated from March 10 and paid annually, the statement said.

The issuance will be canceled or suspended if interest rate hikes occur during the issue period, the statement said.

The bonds will be available only to individual investors, it said.

Electronic savings bonds are considered more convenient than other types of bonds, as interest can be paid directly into the investor's account.