The Nigerian government, via the Debt Management Office, DMO, has asked Nigerians to subscribe to FGN savings bonds.
The DMO stated that the first is a two-year savings bond due on June 14, 2025, and the other is due on June 14, 2026.
It stated that the offer opened on June 3, 2023, and would be closing on June 9, 2023.
The Debt Management Office (DMO) announced two Federal Government of Nigeria (FGN) saving bonds for a subscription at N1,000 per unit.
According to a statement by DMO, the offer opens on June 3, 2023, and closes by June 9, 2023.
The DMO stated that the first offer is a two-year FGN savings bond due on June 14, 2025, at an interest rate of 11.301% per annum.
Per the DMO, the second offer is a three-year savings bond maturing on June 14, 2026, at an 11.301% interest rate per annum.
According to the DMO, the coupon dates are September 14, December 14, and June 14, respectively.
DMO said: “They are offered at N1,000 per unit subject to a maximum subscription of N5,000 and in multiples of N1,000 after that, subject to a maximum subscription of N50 million,” the statement reads.
“Interest is payable quarterly, and the bullet repayment (principal amount) is done on maturity.”
Bonds guaranteed by the Nigerian government
The debt office also stated that the latest offers have a settlement date of June 14, 2023.
The agency also noted that the FGN savings bonds were backed by the full faith and credit of the Nigerian government and charged upon the general assets of the country.
“They qualify as securities in which trustees can invest under the trustee investment act.
“They qualify as government securities within the meaning of the company income tax act (CITA) and personal income tax act (PITA) for tax exemption, pension funds, amongst other investors,” DMO added.
The office said the savings bonds are also listed on the Nigerian Exchange Limited and qualify as liquid assets for bank liquidity ratio calculation.
FG Offers high interest-yielding savings bond for November 2022
Legit.ng reported that the Debt Management Office (DMO), on behalf of the Federal Government of Nigeria, has announced the offer for a subscription to the November 2022 Federal Government Savings Bonds.
According to a circular by the DMO, there are two batches of issuances, the 2-year and 3-year savings bonds, with interest rates of 12.492 per cent and 13.492 per cent.
Reports say the interest rates went up from 11.382 per cent and 12.382 per cent in October for the 2-year and 3-year Savings Bonds.
Madukwe B. Nwabuisi is an accomplished journalist renown for his fearless reporting style and extensive expertise in the field. He is an investigative journalist, who has established himself as a kamikaze reporter.
