DMO places two FGN savings bonds to subscribe for October

The Debt Management Office (DMO) has announced the start of subscription for the Federal Nigerian government savings (FGN) for October.

DMO made an announcement in a circular through an official X account on Monday.

According to DMO, the offer includes two -year bonds which are due on 15 October 2027, at the interest rate of 14.06 percent per year, and a three -year bond due on October 15, 2028, at 15.06 percent per year.

The subscription is open on Monday, and will be closed on October 10.

The settlement is scheduled for October 15, while coupon payments will be made every quarter on January 15, April 15, July 15 and October 15 from each year.

“N1,000 per unit is subject to a minimum subscription of N5,000 and in multiples of N1,000 after that is subject to a maximum of N50,000,000,” said DMO.

According to a circular, interest on the bonds will be paid every quarter, with a shipping bullet after maturity.

DMO also noted that bonds meet the requirements as government securities based on the Company’s Income Tax Law (Cita) and Personal Income Tax Laws (Pita) for tax exemption allowances.

Also read: Allegations of Falsification: Minister of Science NNAJI accused Unn playing politics, demanding the release of transcripts

The Agency confirmed that shares “meet the requirements as securities in which guardians can invest under the Investment Law of the Wali Mandate”.

DMO explained that the bonds were registered at the Nigerian Exchange Limited (NGX) and met the requirements as a liquid asset for the calculation of bank liquidity ratios.

The Debt Management Office recommends that investors are interested in contacting the stock company appointed as a distribution agent for savings bonds.

By: Babajide Okeowo