CTT makes €24M from bonds
The Portuguese postal service and bank CTT made €24 million from savings and treasury bonds this year.
Portugal’s private postal and banking service CTT has made over €144 million from the State on commission for selling government savings and treasury bonds and this year alone made €23 million.
Since 2018 CTT has netted €144 million or €24 million from selling the so-called Afforo Certificates and Treasury Certificates (both bonds) at its branches.
According to CTT – Correios de Portugal accounts, between 2018 and the end of Q1 2023, CTT acted as retailers by selling the savings bonds and helping the State to raise €30Bn from small investors.
Until the start of 2022 demand for saving bonds was low because of negative interest rates which made them unattractive to small investors, although there was an increase in demand.
However, with the recent spate of interest hikes from the ECB Portuguese small investor bonds have been selling like hot cakes with a run on these certificates by the general public because they offer better interest than the banks with thousands of depositors shifting some of their savings into these bonds to get better returns.