Secretary of State (International Financial Institutions) Jim Peterson today announced interest rates for the next issues of Canada Premium Bonds Series 24 and Canada Savings Bonds Series 75, which will be on sale from Jan. 2, 2002, to Feb. 1, 2002, inclusive.

CPB Series 24, with an issue date of Feb. 1, 2002, and a 10-year term to maturity, will carry an interest rate of 2% for the first year, 2.7% for the second year and 3.5% for the third year. The annual compound rate of return, based on these guaranteed rates, will be 2.73% if held for three years. The interest rates posted for years one, two and three are guaranteed and will be increased up until the issue date if market conditions warrant. Once the issue date has passed no changes to the posted interest rates will be made. CPBs are redeemable once a year on the anniversary of the issue date and during the 30 days thereafter.

Outstanding CPB Series 6 (Feb. 1, 1999) will carry an interest rate of 2% for the bond year beginning Feb. 1, 2002, 2.7% for the bond year beginning Feb. 1, 2003, and 3.5% for the bond year beginning Feb. 1, 2004.

CSB Series 75, with an issue date of Feb. 1, 2002, and a 10-year term to maturity, will carry an interest rate of 1.35% for the first year. The interest rate will be increased if market conditions warrant. CSBs can be cashed at any time.

Outstanding CSB Series 57 (Feb. 1, 1999), CSB Series 63 (Feb. 1, 2000) and CSB Series 69 (Feb. 1, 2001) will carry an interest rate of 1.35% for the bond year beginning Feb. 1, 2002.

CPB Series 24 and CSB Series 75 are available for direct purchase from the Government online at www.csb.gc.ca, or by phone Monday to Friday between 8 a.m. and 8 p.m. Eastern Time at 1 888 773-9999.

Both bonds are also available with no-fee registered retirement savings plan and registered retirement income fund options wherever Canadians bank or invest.

The Mar. 1, 2002, issues of CPBs and CSBs are expected to be available Feb. 2, 2002.