the Federal Government, through the Debt Management Office (DMO), aims to raise N2.5 trillion in its second FGN bonds auction of the year. The offerings, detailed in a circular released by the DMO, comprise N1.25 trillion each with maturity dates of February 2031 and a 10-year tenor.
These FGN savings bonds are integral to the government’s domestic borrowing strategy, part of which includes seeking approval for external borrowing totaling $8.69 billion and €100 million from the National Assembly for the 2022 to 2024 period.
The issuance of FGN bonds serves as a critical component of the Federal Government’s fiscal policy, enabling it to mobilize funds to meet budgetary requirements and finance developmental projects. President Bola Tinubu’s pursuit of approval for significant external borrowing underscores the government’s efforts to secure financial resources for various initiatives.
Previously, in January, the government had offered FGN savings bonds with different tenures and competitive interest rates, providing investment opportunities for individuals and institutions.
Source: PUNCH