The Bank of Mauritius has announced the launch of a new state-guaranteed retirement savings bond, offering an annual yield of 6%. The "Fifteen-Year Government of Mauritius Retirement Savings Bond" is exclusively available to Mauritian residents aged 50 to 65. Subscriptions for the bond will open on 15 October and run until 23 December, unless an early closure is decided by the government. This new financial product aims to provide a secure investment option for the country's over-50 population.
To invest in the bond, applicants must meet specific financial requirements. The minimum investment outlay is Rs 100,000, with the option to scale up in multiples of Rs 100,000, up to a maximum cap of Rs 2 million per investor. Interest on the bonds will be disbursed semi-annually on 15 March and 15 September. The bond officially reaches maturity on 15 October 2041, providing a long-term investment opportunity for those seeking stable returns.
The bond comes with strict stipulations governing its liquidity and administration. Investors are subject to a mandatory five-year holding period, during which early redemption is permitted but with certain conditions. If investors choose to withdraw before the five-year mark, any interest previously paid will be recalculated at 4.5 per cent or the prevailing market rate, whichever is lower. Additionally, the bond is strictly non-transferable, cannot be pledged as collateral or given in guarantee, and cannot be held jointly.
In the event of the investor's death, the net proceeds will be transferred to the rightful beneficiaries, providing a death benefit. The official prospectus and application forms can be obtained directly from the Bank of Mauritius website at www.bom.mu. Applications can be processed through a network of eleven authorized banking institutions, including major banks such as ABC Banking Corporation Ltd, Absa Bank (Mauritius) Limited, and SBM Bank (Mauritius) Ltd.
The Bank of Mauritius has set clear conditions for the bond, ensuring that investors understand the terms and requirements. By investing in this state-guaranteed bond, residents aged 50-65 can benefit from a secure and stable investment option. The bond's 6% annual yield provides an attractive return, especially for those seeking low-risk investments.
The launch of this retirement savings bond is part of the Bank of Mauritius' efforts to provide innovative financial solutions for its citizens. By offering a state-guaranteed investment option, the bank aims to support the country's over-50 population in planning for their retirement. With a minimum investment outlay of Rs 100,000, this bond is accessible to a wide range of investors.
The "Fifteen-Year Government of Mauritius Retirement Savings Bond" offers a unique investment opportunity for Mauritian residents aged 50-65. With its state-guaranteed 6% annual yield and semi-annual interest disbursements, this bond provides a secure and stable investment option. As the bond reaches maturity on 15 October 2041, investors can benefit from a long-term investment strategy.
Key points
- The bond is exclusively available to Mauritian residents aged 50-65.
- The minimum investment outlay is Rs 100,000, with a maximum cap of Rs 2 million per investor.
- The bond comes with a mandatory five-year holding period and strict stipulations governing its liquidity and administration.
