Two New Federal Government of Nigeria (FGN) savings bond offers were made available for subscription on Monday by the Debt Management Office (DMO).
The initial offer, according to the DMO, is a two-year FGN savings bond with an interest rate of 12.464 percent per year that is due on November 15, 2025.
The second offering is a savings bond with a three-year maturity date of November 15, 2026, and an interest rate of 13.464 percent annually.
According to the statement, they were available for N1,000 apiece, with a N5,000 minimum subscription and N1,000 increments after that, up to a N50 million maximum subscription.
The DMO stated that the coupon payment dates are February 15, May 15, August 15, and November 15, and the opening and closing dates for the offers are November 6 and November 10, respectively.
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It said that bullet repayment for FGN savings bonds was due on the bond’s maturity date, and interest was payable on a quarterly basis.
The DMO claims that they are charged against Nigeria’s general assets and supported by the country’s entire faith and credit.
According to the Trustee Investment Act, they are securities that trustees may purchase.
“Be eligible for tax exemption for pension funds and other investors by meeting the requirements of the Company Income Tax Act and Personal Income Tax Act as government securities.
It stated, “Listed in the Nigerian Exchange Limited; and qualify as liquid assets for banks’ calculation of liquidity ratio.”
