1. Definition

A. What are Book-Entry Central Government Bond and Municipal Bond?

  1. Book-entry central government bond refers to central government bonds issued in registered form in accordance with Article 6 of the Central Government Development Bonds and Loans Act. Registration of the bond holders’ related rights is via the “Central Government Securities Settlement System”, which is a computer network linking the central bank and clearing banks, and registration institution will issue a book-entry central government bond passbook. Interest payments and principal redemption for book-entry central government bond are also be processed through the system, and the payments will be transferred to the bank reserve account of the registration institutions directly.
  2. Municipal bond refers to the book-entry bond issued by government of special municipalities pursuant to related regulations. The managing bank will register related information to TDCC after issuance.

2. Issuance Market

  1. Central government bonds are sold at auctions through electronic bidding system, using single rate method. Only government bond dealers are allowed to submit bid at the government bond auctions. Other investors can participate in auction by submitting their bids to any one of the government bond dealers.
  2. The issuance of municipal bond, pursuant to the related regulations, should process through managing bank by auction or by issuing 100 % of the principal amount. The managing bank shall open a payment account to deposit, make interest payments as well as principal redemption, and should keep account by bond name, issuing year as well as tranche.

3. Secondary Market

Trading Avenues Electronic Bond Trading System (EBTS) Over The Counter
Bond Type Central Government Bond and
Municipal Bond
Central Government Bond and
Municipal Bond
Trading Hours
  • Computerized Negotiation System: 9:00 ~ 13:30
  • Designated-Bond Repo-Style Transactions: 9:00 ~13:30、14:00~15:00
  • Ordinary-Collateral Repo-Style Transactions:9:00 ~ 9:30
  • Comparison System:13:30 ~ 16:00
  • 9:00~15:00
    Minimum Trading Units
  • Computerized Negotiation System:NT$50 Million Par Value
  • Comparison System:NT$100,000 Par Value
  • NT$10,000 Par Value
    Settlement Date
  • Computerized Negotiation System:T+2
  • Comparison System:T+1 or T+2
  • Ordinary-Collateral Repo-Style Transactions:T+0
  • Within T+2
    Settlement Method Central Government Bond:
  • Money:CBC Interbank Funds Transfer and Settlement System
  • Bond:Central Government Securities Settlement System
  • The settlement method is negotiated and
    agreed between the two parties.
    Municipal Bond:
  • Money: CBC Interbank Funds Transfer and Settlement System
  • Bond:Transferred on a book-entry basis through the TDCC