Economy
THE Debt Management Office (DMO) has announced two Federal Government of Nigeria (FGN savings bonds for subscription at N1,000 per unit.
The first but, according to the DMO, nine is a two-year FGN savings bond due on Feb. 14, 2025, at interest rate of 12. 75 per cent per annum.
The second offer is a three-year FGN savings bond due on Feb 14, 2026, at 13.75 per cent per annum.
Opening date is Feb. 4, closing date is Feb. 9, settlement date is Feb. 14, while coupon payment dates are May 14, Aug. 14, Nov. 14 and Feb. 14.
The debt office announced that the bonds are offered at 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 million.
“Interest is payable quarterly while bullet repayment is on maturity date,” the DMO said.
It assured that FGN savings bonds, like all other FGN securities, are backed by the full faith and credit of the Federal Government of Nigeria and charged upon the general assets of Nigeria.
“They qualify as securities in which trustees can invest under the Trustees Investment Act.
“Qualify as government securities within the meaning of Company Income Tax Act and Personal Income Tax Act for tax exemption for pension fund amongst other investors.
“Listed in the Nigerian Stock Exchange Limited, and qualify as liquid asset for liquidity ratio calculation for banks,” it said. (NAN)
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