The Hungarian Government Security Plus (MÁP Plusz) bond will be available in printed form at post offices in six denominations from HUF 10,000 to HUF 2 million from Monday, according to Minister of Finance Mihály Varga.
Government website kormany.hu says the governmentʼs aim is to further increase the role of consumer government securities on the savings products market.
Magyar Posta is set to be the exclusive distributor of the bonds as a sub-representative of the Hungarian State Treasury at more than 2,100 postal service locations. The rate of interest of the printed MÁP Plusz bonds will be the same as the rate already available.
The rate of interest paid by certain government securities sold to the public will change from Monday, including the 1-Year Hungarian Government Security (1MÁP), which will be reduced to 2.5%. The interest premium paid by the 3-year Hungarian Government Security (PMÁP) will be reduced to 1%, while that of the 5-year bond will decrease to 1.4%.
Kormany.hu says that the remaining conditions will stay unchanged, and both affected bonds will continue to be available from the State Treasury and within branch networks of certain banks and investment firms.
The report adds that a decision has also been made to reduce the commissions paid in relation to consumer government securities from the beginning of 2020, as a result of which the commissions paid by the budget will decrease considerably from 2020.