DMO Offers June 2022 FGN Savings Bond For Subscription- Nigeria

0 264

The Debt Management Office (DMO), on behalf of the Federal Government has announced the offer for subscription of the June 2022 Federal Government Savings Bond to investors.

This disclosure is contained in a circular issued by the DMO, noting that there are 2-year and 3-year savings bonds. A breakdown shows that the 2-year FGN savings bond will be due on June 15, 2024, at 8.205% per annum. And the 3-year FGN Savings Bond which will be due on June 15, 2025, at 9.205% per annum.

Highlights
Opening Date – June 6, 2021
Closing Date – June 10, 2021
Settlement Date – June 15, 2021
Coupon Payment Dates –September 15, December 15, March 15, June 15
UNITS OF SALE: 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 N50,000,000.
The Bond Qualifies as securities in which trustees can invest under the Trustee Investment Act. It qualifies as Government securities within the meaning of Company Income Tax Act (“CITA”) and Personal Income Tax Act (“PITA”).


What you should know
A monthly comparison shows the rates for the two tranches increased, compared to the 5.522% and 6.522% offered for the 2-year FGN savings bond due April 202. And 3-year FGN Savings bond due April 2024, respectively. The interest rate for the latest offer is higher than the offer announced in the previous month. This could be a move to attract more investors to subscribe to the securities.


This is evidently seen in the equities market, investors sell off their shares and buy into less risky assets. The Debt Management Office (DMO) issues the FGN Savings Bond on behalf of the Federal Government.


-Nairametrics.

Leave A Reply