Turkish Treasury will launch new gold-based securities starting next week, according to the Ministry of Treasury and Finance on Friday.
"In order to diversify borrowing instruments, broaden the investor base, and bring idle gold into the economy, gold bonds and lease certificates will be issued to individual investors (natural persons) starting from Sept. 10, 2018," the ministry said in a statement.
"The demand for the securities will be collected in different rounds across Turkey through the designated branches of Ziraat Bank and Ziraat Participation Bank," it noted.
According to the official statement, the information regarding the provinces and the branches of the banks are provided online via the official websites.
"The securities will be transferred to the investors’ bank accounts on Wednesdays following the demand collection period of the related round," the ministry said.
"The investors will be paid Turkish lira-denominated 1.20 percent semi-annual (2.40 percent per annum) returns indexed to the gold price."
The ministry noted that the new securities will be issued with a two-year maturity.
"On maturity, investors may request the principal payment as one kilogram of the gold bar (produced by refineries) or 'Republic Gold Quarter Coins' printed by Turkish State Mint," it added.