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BEIJING - The Ministry of Finance said on Wednesday that China will issue 28 billion yuan (US$3.9 billion) worth of long term book-entry treasury bonds, with a fixed annual interest rate of 4.16 percent.

Interest on the 15-year bonds would be calculated from February 28, when the issue starts, and paid semi-annually. The principal would be returned at maturity, the ministry said.

The issue, which will end on March 3, is the second batch this year.

The first, announced on February 1, was for 29 billion yuan in seven-year bonds with a fixed annual interest rate of 3.95 percent.

In 2007, China issued 35 batches of Treasury bonds amounting to about 2.35 trillion yuan.