Euronext Amsterdam welcomed the Dutch district water board De Stichtse Rijnlanden on Thursday 19 September 2024 for a special Gong ceremony to celebrate the interest payment on two perpetual bonds, dating back to 1638 and 1765.
The century-old bonds were issued at the time by the Utrecht Water Board Lekdijk Bovendams, legal predecessor of De Stichtse Rijnlanden, and the documents are still yielding interest. Specifically, they are a 2.5% bond (dated 1638) worth 3,200 guilders, now 386 years old, and a 2.5% bond (dated 1765) worth 1,000 guilders, now 259 years old.
These bonds are not only part of the historical archives of the Amsterdam Stock Exchange but also hold a place in the Guinness Book of Records as some of the oldest bonds in the world that still pay interest. The last payment occurred in March 2016.
The bonds were issued following a series of breaches of the Lekdijk, the dyke that has protected large parts of Utrecht and Holland from the water since the early 12th century. After the dyke was breached a number of times between the 15th and 17th centuries, resulting in flooding even in Amsterdam, the water control board decided to issue the perpetual bonds to finance the repair and reinforcement of this dyke that is still crucial to the Randstad area of the Netherlands today. Interest is still being paid on seven of these centuries-old bonds. Two of these have long been part of the historical archive of the Amsterdam Stock Exchange, managed by the Amsterdam Capital Foundation (Stichting Capital Amsterdam).
Since 1638, the total interest payments have now reached nearly 1,500%.
Despite being centuries old, these bonds are more relevant than ever. The Lekdijk is one of the most important dykes in the Netherlands due to the economic value and population it protects. It is a key component of the Dutch Flood Protection Programme. Additionally, these bonds, which have been generating interest for nearly 400 years, symbolise the financial reliability of the Netherlands.