The Debt Management Office of Nigeria has launched the subscription for the April 2025 FGN Savings Bond, offering interest rates of up to 17.046% per annum for retail investors.
According to the DMO’s official notice, the bond offering is structured as follows: 2-Year FGN Savings Bond due April 16, 2027: 16.046% per annum;
3-Year FGN Savings Bond due April 16, 2028: 17.046% per annum.
The subscription for the April 2025 FGN Savings Bond is open from Monday, April 7, 2025, to Friday, April 11, 2025. The settlement date is set for April 16, 2025, which will also be the first coupon payment date for investors.
The DMO stated that after the initial coupon payment on April 16, 2025, subsequent payments for the FGN Savings Bond will be made quarterly on July 16, October 16, January 16, and April 16 each year.
The DMO noted that the FGN Savings Bond is recognized as a security under the Trustee Investment Act, allowing trustees to invest in it. It also qualifies as a government security under the Company Income Tax Act and the Personal Income Tax Act, providing tax exemption benefits for pension funds and other eligible investors.
Additionally, the bonds are listed on the Nigerian Exchange Limited, offering investors liquidity through the secondary market. They also qualify as a liquid asset for calculating liquidity ratios for banks.
The DMO emphasized that the FGN Savings Bond is fully backed by the full faith and credit of the Federal Government of Nigeria, secured by the nation’s general assets.
