By Kadiri Abdulrahman
The Federal Government, through the Debt Management Office (DMO) has offered two FGN savings bonds for subscription at N1,000 per unit.
According to a release by the DMO, the first offer is a two-year FGN savings bond due on Feb. 11, 2028 at interest rate of 145.356 per annum.
The second offer is a three-year savings bond due on Feb. 11, 2029 at 14.356 per cent per annum.
The office said that opening date for the offer is Feb. 2&; closing date is Feb. 6; settlement date is Feb. 11, while coupon payment dates are May 11, Aug. 11, Nov. 11 and Feb. 11.
It said that the FGN bonds were offered at N1,000 per unit subject to a minimum subscription of N5,000 and in multiples of N1,000 thereafter, subject to appropriate maximum subscription of N50 million.
“Interests are payable quarterly, while bullet repayment (principal) sum is done on maturity date,” the DMO said.
It said that FGN savings bonds are backed by the full faith and credit of the Federal Government.
“They qualify as securities in which trustees can invest under the Trustees Investors Act.
“They qualify as government securities within the meaning of Company Income Tax Act and Personal Income Tax Act for tax exemption for pension funds among other investors.
“They are listed on the Nigerian stock exchange, ” the DMO said.
It said that they also qualify as liquid assets for liquidity ratio calculation for banks. (NAN)(www.nannews.ng)
Edited by Sadiya Hamza
