Abuja, Dec. 17, 2024 – The Debt Management Office (DMO) has offered for subscription two Federal Government bonds valued at N120 billion.
The DMO announced this in a statement on Monday in Abuja.
The first offer is the April 2029 FGN bond valued at N60 billion being offered at 19.30 percent an interest per annum (five-year re-opening).
The second offer is the February 2031 FGN bond of N60 billion being offered at 18.50 per cent per annum interest rate (seven-year re-opening).
The auction date is Dec. 16, while the settlement date is Dec.18.
“The bonds are offered at N1,000 per unit subject to a minimum subscription of N50 million and in multiples of N1,000 thereafter.
“Interest is payable semi-annually, while the bullet repayment is on the maturity date,” the DMO said.
“FGN bonds are backed by the full faith and credit of the Federal Government and are charged upon the general assets of Nigeria.
“They qualify as securities in which trustees can invest under the Trustee Investment Act.
“They qualify as government securities within the meaning of Company Income Tax Act and Personal Income Tax for tax exemption for pension funds amongst other investors.
“All FGN bonds qualify as liquid assets for liquidity ratio calculation for banks,” it said.
They are listed on the Nigerian Exchange Limited and FMDQ OTC Securities Exchange. (GBN)
