The Debt Management Office has opened the July savings bond offer to investors.
The DMO revealed this in a circular on Monday that it put on offer the Federal Government’s two-year and three-year savings bonds.
According to the circular, the two-year FGN savings bond will be due for redemption on July 14, 2023 at 8.35% per annum, while the three-year offer will be due on July 14, 2024 at 9.35% per annum.
The offer opened on Monday, with a closing date of July 9.
While the settlement date is July 14, the bonds have coupon dates of October 14, January 14, April 14, and July 14, according to the circular.
The units of sale are N1,000 per unit subject to a minimum subscription of N5,000 and in multiples of N1,000 thereafter, subject to a maximum subscription of N50,000,000.
The interest rate is payable quarterly with bullet repayment expected on the maturity date.
As stated in the circular, the bonds qualify as securities in which trustees can invest under the Trustee Investment Act, and as a liquid asset for liquidity ratio calculation for banks.
The bonds were said to be “backed by the full faith and credit of the Federal Government of Nigeria and charged upon the general assets of Nigeria.”