Premium Hungarian Government Security (PMÁP)

Premium Hungarian Government Security (PMÁP) is a registered floating rate, inflation-linked government security. Series issued on and after 30 September 2022 have a face value of HUF 1.*  

The annual interest rate – except for fixed interest periods of certain series** – is calculated as a sum of theinterest base and a different interest rate premium per series. The interest base for the given interest period equals to the previous year’s average Hungarian “Consumer Price Index” published by KSH (Hungarian Central Statistical Office). PMÁP provides a different interest rate premium per series, or even per interest periods. The interest rate and the date of interest rate fixings are defined in the Public Offering of each series.

For series issued on and after 30 September 2022, a Sales Cap has been set for dealers, the amount of which will be specified in the Offering Circular and in the Public Offering of certain series.

The interest period is one year and the interest amount is paid on the last day of each period.  The repayment of the principal is due in one lump sum at maturity.

PMÁP can be purchased and transferred by resident and non-resident individuals. Persons eligible to acquire the PMÁP on the primary market may purchase and transfer the PMÁP among themselves on the secondary market after the placement.

No interest tax will be charged on series issued after 1 June 2019, and series of PMÁP issued after the same date  are also exempted from the obligation to pay the social contribution tax set out of Act LII of 2018 on Social Contribution Tax.

For terms and conditions of each series, please get informed from the Public Offering and Offering Circular of the relevant series.

The security can be bought and sold in the branch network of the Hungarian State Treasury, through its electronic platform called WebTreasury, and in the branch network of the following dealers: CIB Bank Zrt., Concorde Értékpapír Zrt., Erste Befektetési Zrt., Equilor Befektetési Zrt., Gránit Bank Zrt., K&H Bank Zrt., MBH Befektetési Bank Zrt. (formerly MTB Magyar Takarékszövetkezeti Bank Zrt.), MBH Bank Nyrt. (formerly MKB Bank Nyrt)., OTP Bank Nyrt., Raiffeisen Bank Zrt. and UniCredit Bank Hungary Zrt.

*Earlier series were issued with a HUF 1,000 denomination

**Series 2027/J, 2029/I, 2029/J, 2032/I, 2032/J, 2035/I1, 2035/I2