The Government today announced the launch of a new batch of its Silver Bond series for subscription, offering a minimum interest rate of 3.85%.

Residents who were born in 1966 or before and hold a valid Hong Kong identity card are eligible for subscription.

The target issuance size is $50 billion, with each unit offered at $10,000 and with a tenor of three years. Interest will be paid semi-annually.

The bonds are the retail part of the Infrastructure Bond Programme. Proceeds will be credited to the Capital Works Reserve Fund for investment in infrastructure projects. The Government will publish information on the allocation of the proceeds on an annual basis.

Financial Secretary Paul Chan said the Government is continuing to issue Silver Bonds this year to provide a safe, reliable and low-risk investment option with steady returns for senior citizens.

He stressed that proceeds from this batch will be used to fund the implementation of infrastructure projects for the good of the economy and people’s livelihoods.

A maximum allocation of $1 million per investor will be stipulated, meaning that each investor will be allocated 100 units of retail bonds at most.

The subscription period will start from 9am on September 15 and end at 2pm on September 29. During this time, eligible residents can apply for the bonds through placing banks and designated securities brokers. The bonds will be issued on October 10.