The third tranche of Novi Sad's municipal bonds is delayed - Bonds to be issued only in July, 2012

The third tranche of municipal bonds that will encircle the planned loan by the City of Novi Sad to EUR 35 million intended for the completion of Europe Boulevard and sewer networks in the suburbs, and which will be available to citizens, will be issued at the end of June or in July, reports the Radio Television of Vojvodina .

As explained for RTV, the City Council's member responsible for finance, Zivko Makaric, issuing of the bonds, in the value of EUR 6 million, will be postponed due to delay in the purchase of land on the fourth section of the Europe Boulevard.

- As there is in the city's budget a significant portion of money from the first two tranches of bonds, we decided not to announce yet a third tranche worth 6 million EUR, so that the interest would not continue to run unnecessarily - said Makaric.

The City House previously announced that municipal bonds for citizens would become available in the first half of May, and that citizens would be able to buy them with coupons of 100 EUR, as a new form of savings.

The city will, as announced, pay back a fixed interest rate of 6% per annum with a repayment period of 12 years.