DMO opens 2 FG bonds for subscription

The Debt Management Office (DMO), has announced the opening of two Federal Government (FGN) savings bonds for subscription at N1000 per unit.

According to details obtained from DMO’s Website, investors are entitled to a minimum subscription of N5,000 and multiples of N1,000 thereafter, and subject to a subscription of N50 million.

The offer, according to the DMO, a two-year FGN Savings Bond due May 12, 2023, with interest rate of 7.753 per cent per annum.

The offer a three-year FGN Savings Bond due May 12, 2024, at an interest rate of 8.753 per cent per annum.

Opening date for subscription May 3, and closing date May 7, while settlement date May 12, and coupon payment dates are Aug. 12 and Nov. 12 , 2021 and Feb. 12 and May 12, 2022.

“They qualify as securities to which trustees can invest under the Trustee Investment Act.

“Qualify as government securities within the meaning of Company Income Tax Act and Personal Income Tax Act for tax exemption for , listed in the Nigerian Stock .

“It qualifies as a liquidity ratio calculation for banks,” DMO stated.

It added that the bonds were backed by the full faith and credit of the Federal Government, and charged upon the general assets of Nigeria. (NAN)