The Ministry of Finance of Belarus has approved instructions on foreign currency government bonds for individuals.

14 December, Minsk /Anna Kot - BELTA/. The Ministry of Finance of Belarus has approved the instructions on the procedure for issuing, circulating and redeeming state bonds denominated in foreign currency for individuals. The corresponding resolution of the Ministry of Finance, No. 69 dated 7 December 2012, was officially published today on the National Legal Internet Portal, BELTA correspondent reports.

The resolution comes into force after its official publication. According to the instructions, the bonds are bearer state securities and are not reissued if lost; duplicates are not issued. Recovery of rights to lost bonds is carried out by the court in the manner prescribed by the legislation of Belarus.

Bonds are issued on special forms, which indicate the name of the bond ("State Foreign Currency Loan"), its nominal value, placement period, interest income rate, start date of redemption and interest income payment, series and number.

Placement and redemption of bonds, as well as payment of interest income, are carried out through authorised banks of Belarus, which, in the established manner, attract funds from individuals into deposits, based on a commission agreement concluded between the Ministry of Finance and these banks. The list of such agent banks is determined by the Ministry of Finance for each bond issue.

The basis for issuing bonds is a decision of the Ministry of Finance. In this case, the ministry shall inform individuals about the terms of bond issuance no later than three calendar days before the start date of bond placement. The terms of bond issuance and the list of agent banks are published in the newspaper "Respublika" and on the official website of the Ministry of Finance.

The interest income rate is set by the Ministry of Finance when making a decision on the bond issue. Interest income payment may be made during the circulation period or upon redemption of the bond in accordance with the terms of issue.

Transactions for the placement, interest income payment and redemption of bonds in cash are carried out without individuals presenting identity documents, except in cases provided for by the legislation of Belarus. Agent banks pay interest income to bondholders and redeem bonds in the currency of the bond's nominal value, except for small balances, which are paid in Belarusian roubles.

Payment of interest income on the bond and its redemption shall be made upon presentation of the bond by the owner to the agent bank that placed the bond. Upon redemption of the bond, its owner shall be paid the nominal value of the bond and all unpaid interest income. Payment of interest income and nominal value upon redemption to bondholders shall be made by agent banks within six months from the date of commencement of bond redemption. After the expiry of the specified period, the claim for bond redemption and interest income payment shall be settled by the Ministry of Finance. The bondholder, to receive interest income and redemption at the nominal value of the bond, shall apply to the Ministry of Finance with a statement. The Ministry of Finance's instructions specify other details of the issuance, placement, circulation, and redemption of government bonds denominated in foreign currency for individuals. On December 5, 2012, the Government of Belarus adopted a resolution approving the main terms and conditions for the issuance, circulation, and redemption of government bonds denominated in foreign currency for individuals. On December 20, 2012, the Ministry of Finance of Belarus will commence the placement of the first and second issues of government bonds denominated in foreign currency for individuals, totaling $50 million. OJSC "ASB Belarusbank" acts as the organizer and agent bank for these issues. The interest income rate on the bonds is fixed at 7% per annum. The placement period for the bonds is from December 20, 2012, to June 20, 2013. -0-

BELTA