The Ministry of Finance has announced that China is to issue 27.94 billion yuan (about 3.94 billion U.S. dollars) worth of book-entry treasury bonds at a fixed annual interest rate of 4.07 percent.

The interest on the 10-year T-bonds would be calculated from March 20, when the issue starts, and paid semi-annually. The principal would be returned at maturity, the ministry said.

The issue -- the third time this year -- would end on March 25,and the bonds would become tradable on March 28.

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

The second one, started from Feb. 28, was of 28 billion yuan worth of 15-year bonds, with a fixed annual interest rate of 4.16 percent.

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