Reopening refers to issuing an additional amount of outstanding government bonds with the same terms as the original issue. The reopened issue of government bonds, apart from the auction date, issue date and bidding price being different from the original issue, has the same coupon rate, maturity date and repayment terms as the original issue. The reopening mechanism seeks to extend the trading duration of benchmark government bonds and to effectively establish the yield curve of government bonds. At present, in line with the policy of regular issuance and moderate amounts, central government bonds are basically reopened 3 months after the original issue in an amount of NT$30 to 50 billion, and no more than the amount of the original issue. Since bidders of reopened bonds should reflect the income tax of interest accrued during the issue dates between the original issue and the reopened issue in their bidding yields, they should not ask to refund the tax when collecting the coupon interest. [4]
Reopening refers to issuing an additional amount of outstanding government bonds with the same terms as the original issue. The reopened issue of government bonds, apart from the auction date, issue date and bidding price being different from the original issue, has the same coupon rate, maturity date and repayment terms as the original issue. The reopening mechanism seeks to extend the trading duration of benchmark government bonds and to effectively establish the yield curve of government bonds. At present, in line with the policy of regular issuance and moderate amounts, central government bonds are basically reopened 3 months after the original issue in an amount of NT$30 to 50 billion, and no more than the amount of the original issue. Since bidders of reopened bonds should reflect the income tax of interest accrued during the issue dates between the original issue and the reopened issue in their bidding yields, they should not ask to refund the tax when collecting the coupon interest. [4]