STO sells bonds worth USD 35 million

State Trading Organization (STO) has sold bonds of USD 35 million.

STO said that the bonds were sold to develop the fuel storing island, Funadhoo.

Bonds with a face value of USD 1000 were sold with an interest rate of 5.25 percent. They were sold for eight years with a grace period of two years. STO said that those buying in the two years would not receive an interest. But they would receive the interest in the six years that follows.

STO said that the bonds were sold to the banks. But they did not reveal which banks they were.

Managing Director of STO, Ahmed Shareeh told Sun Media today that expansion of the fuel storage in Funadhoo is the most prioritized project right now. And so the storage for both petrol and diesel would be expanded. As part of the project, Director Shareed said that they would acquire a tanker capable of carrying 20,000 tons of fuel.