The Debt Management Office (DMO) on behalf of the Federal Government of Nigeria has published August 2022 FGN Savings Bond offer for subscription for 2-year and 3-year tenor.
The rates for the August offer are 1.334% higher than the rates in July 2022 for both the 2-year and 3-year bonds. with the 3-year rate rising above 10%. July rates were 8.075% per annum for 2-year and 9.075% per annum for 3-year FGN savings bonds.
FGN Savings Bond is backed by the full faith and credit of the Federal Government of Nigeria and are charged upon the general assets of Nigeria.
The DMO offers:
2-Year FGN Savings Bond due August 10, 2024: 9.413% per annum
3-Year FGN Savings Bond due August 10, 2025: 10.413% per annum
Key dates:
Opening Date: August 1, 2022
Closing Date: August 5, 2022
Settlement Date: August 10, 2022
Coupon Payment Dates: November 10, February 10, May 10, August 10
Units of sale –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
- Read: List of Dividends announced in 2022, qualification and payment dates
- List of Dividends announced in 2021, qualification and payment dates
- Visit Investogist’s homepage for more articles
The interests are payable quarterly, with a bullet repayment of the principal on maturity date.
Bond Status:
- Qualifies as securities in which trustees can invest under the Trustee Investment Act.
- Qualifies as Government securities within the meaning of Company Income Tax Act (“CITA”) and Personal Income Tax Act (“PITA”) for Tax Exemption for Pension Funds amongst other investors.
- Listed on the Nigerian Stock Exchange.
- All FGN Bonds qualify as liquid assets for liquidity ratio calculation for banks.
Interested investors should contact offices of any of the following Primary Dealer Market Makers (PDMMs): Access Bank Plc, First Bank of Nigeria Ltd, Standard Chartered Bank Nigeria Ltd, Citibank Nigeria Ltd, First City Monument Bank Plc, United Bank for Africa Plc, Coronation Merchant Bank Ltd, FSDH Merchant Bank Ltd, Zenith Bank Plc, Ecobank Nigeria Ltd, Guaranty Trust Bank Plc, FBNQuest Merchant Bank Ltd, Stanbic IBTC Bank Plc.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.
