Abuja, April 25, 2025 – The Debt Management Office (DMO) is to re-open two Federal Government Bonds valued at N350 billion for auction, at a subscription rate of N1,000 per unit.
DMO said in a statement that the offers would be auctioned on April 28, 2025, while their settlement date would be April 30.
It said the applications for bonds would be in two tranches.
The first application will be N200 billion for a five-year savings bond due to mature in April 2029 at 19.3 percent per annum.
The second application will be for N150 billion for a nine-year savings bond due to mature in May 2033, at an interest rate of 19.89 percent per annum.
The transactions will be at N1,000 per unit, subject to a minimum subscription of N50,001,000 and in multiples of N1,000 thereafter.
“For Re-openings of previously issued bonds, (where the coupon is already set), successful bidders will pay a price corresponding to the yield-to-maturity bid that clears the volume being auctioned, plus any accrued interest on the instrument,” DMO said.
The agency also said the interest payment is payable semi-annually, with the redemption in a bullet payment on the maturity date.
DMO said the savings bonds qualify as securities, which trustees can invest under the Trustee Investment Act.
“Qualifies as Government securities within the meaning or Company Income Tax Act (“CITA”) and Personal Income Tax Act (“PIA”) for Tax Exemption for pension funds amongst other investors.
“Listed on the Nigerian Exchange Limited and FMDQ OTC Securities Exchange. All FGN Bonds qualify as liquid assets liquidity ratio calculation for banks,” the debt office said.
DMO said all FGN Bonds are backed by the full faith and credit of the federal government of Nigeria and are charged upon the general assets of Nigeria.
It directed interested investors to contact their primary dealer market makers. (GBN)
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