Georgia secures low interest rates on state bonds

AP News
Posted: Nov 09, 2009 11:22 AM

Georgia has secured historic low interest rates on the sale of new state bonds.

Gov. Sonny Perdue said the cheap rates saved the state $35 million for fiscal year 2010, which began in July. That's good news for the state, which is struggling with sagging tax collections thanks to the recession.

Georgia successfully sold some $794 million in general obligation bonds to fund new schools, public safety projects, road projects and other crucial infrastructure. The state was able to lock in a rate of 1.49 percent the lowest rate in state history for five-year bonds and 2.99 percent for the 20-year bonds. That's also a record low rate.