A presidential decree has set the framework for issuing Angola Treasury Bonds, giving the Minister of Finance power to determine the placement method, issue currency, nominal value, coupon rate and repayment maturities through the Angola Debt and Securities Exchange (BODIVA). The decree also allows the Minister to establish tax and financial incentives for holders of bonds issued under the framework. The rules provide for semiannual coupon payments in the issue currency, paid on the due date or the next business day if it falls on a non-business day. Redemption is at par in the issue currency plus the final coupon, payable on the maturity date or the next business day. Bonds may be placed directly with financial institutions, via quantity or price auctions, through a syndicate of financial institutions or by limited subscription, and may also be offered directly to the public under procedures to be set by the Minister. Subscriber institutions may trade the bonds on a regulated market under the Securities Code; the decree also defines when securities are fungible and enables minister-authorised buybacks or early redemptions. Issuance and subsequent transfers are book-entry between securities accounts, with registration and settlement through centralized securities settlement and clearing systems recognised by the Ministry of Finance. Further ministerial acts will specify the issuance terms and the procedures for any direct public placements.

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