A government bond is a bond issued by a national government, generally promising to pay a certain amount (the face value) on a certain date, as well as periodic interest payments. Bonds are debt investments whereby an investor loans a certain amount of money, for a certain amount of time, with a certain interest rate, to a company or country. Government bonds are usually denominated in the country's own currency. Bonds issued by national governments in foreign currencies are normally referred to as sovereign bonds, although the term "sovereign bond" may also refer to bonds issued in a country's own currency.
Read more about Government Bond: History
Famous quotes containing the words government and/or bond:
“We would be a lot safer if the Government would take its money out of science and put it into astrology and the reading of palms.... Only in superstition is there hope. If you want to become a friend of civilization, then become an enemy of the truth and a fanatic for harmless balderdash.”
—Kurt Vonnegut, Jr. (b. 1922)
“Love cools, friendship falls off, brothers divide: in cities, mutinies; in countries, discord; in palaces, treason; and the bond cracked ‘twixt son and father.”
—William Shakespeare (1564–1616)