Nigerian Government’s New Savings Bond To Attract 5.2 Annual Interest

The bond is subject to a minimum subscription of N5,000 and in multiples of N1,000 thereafter, and subject to a maximum subscription of N50m

Minister of Finance and Budget planning, Mrs. Zainab Ahmed, says government is worried over the fate of oil revenue / Photo credit: premiumtimesng.com
Minister of Finance and Budget planning, Mrs. Zainab Ahmed, says government is worried over the fate of oil revenue / Photo credit: premiumtimesng.com

The Debt Management Office (DMO) has offered for subscription two years and three years Federal Government Savings Bonds at N1,000 per unit.

A circular on the official website of DMO states that the two years bond with February 10, 2023 as due date would attract an interest rate of 4.214 per cent per annum.

The three-year bond, with February 10, 2024 as due date, will attract an interest rate of 5.214 per cent per annum.

The bond is subject to a minimum subscription of N5,000 and in multiples of N1,000 thereafter, and subject to a maximum subscription of N50, 000,000.

The circular reads, “DMO on behalf of the Federal Government of Nigeria offers for Subscription and authourised to receive applications for the Federal Government of Nigeria Savings Bond at the following interest rates:

“Two-Year FGN Savings Bond due February 10, 2023: 4.21 per cent per annum, three-year FGN Savings Bond due February 10, 2024: 5.214 per cent per annum.’’ DMO stated.

It listed opening date of the bonds as February 1; closing date as Feb. 5, 2021 and settlement date as Feb. 10, 2021.

“Coupon payment dates are May 10, August 10 and November 10, 2021.”

It assured that the bonds are backed by the “full faith and credit of the Federal Government of Nigeria and charged upon the general assets of Nigeria.”

It called on interested investors to contact the stockbroking firms appointed as distribution agents by the DMO.

(NAN)

Written by The Interview Editors

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