From Victor Osula, Abuja
The Debt Management Office (DMO) on Monday announced the offer for subscription of two Federal Government of Nigeria (FGN) Savings Bonds for the month of June.
According to a statement issued by the DMO, the offerings include a two-year FGN Savings Bond due June 11, 2027, at an interest rate of 16.121 per cent per annum, and a three-year bond maturing on June 11, 2028, with an interest rate of 17.121 per cent.
“We welcome you to this month of June with the Two-Year FGN Savings Bond due June 11, 2027, at 16.121 per cent p.a., and the Three-Year FGN Savings Bond due June 11, 2028, at 17.121 per cent p.a. Offer opens June 2 and closes June 6, 2025,” the DMO stated.
The rates represent a slight decline compared to May’s offer, which stood at 16.173 per cent for the two-year bond and 17.173 per cent for the three-year bond.
The bonds are priced at ₦1,000 per unit, with a minimum subscription of ₦5,000 and subsequent investments in multiples of ₦1,000. Investors can subscribe for up to ₦50 million.
The settlement date for successful subscriptions is set for June 11, with quarterly interest payments scheduled for September 11, December 11, March 11, and June 11.
The DMO noted that the savings bonds are backed by the full faith and credit of the Federal Government and charged upon the general assets of Nigeria. They are listed on the Nigerian Exchange Limited and qualify as liquid assets for banks’ liquidity ratio computations.
“These bonds qualify as securities under the Trustee Investment Act and are tax-exempt under the Company Income Tax Act and Personal Income Tax Act for pension funds and other investors,” the statement added.
The DMO described the FGN Savings Bonds as one of the safest investment instruments in the country, offering fixed interest rates, predictable returns, and minimal risk of default.
Tailored for retail investors, the bonds offer an accessible entry point compared to other government securities. Proceeds from the bond sales will be used to fund government projects and bridge budget deficits, the DMO said.
