The Debt Management Office (DMO) has opened subscriptions for its August 2026 Federal Government Savings Bond programme, offering Nigerians an opportunity to earn attractive fixed-income returns of up to 14.963 percent annually. The investment window, which opened on August 3, will remain available until August 7, giving retail investors a chance to invest in government-backed securities with as little as ₦5,000.
Under the latest offer, the DMO introduced two savings bond options tailored for different investment horizons. The first is a two-year bond maturing on August 12, 2028, with an annual interest rate of 13.963 percent, while the second is a three-year bond that matures on August 12, 2029, offering a higher annual return of 14.963 percent. Investors who successfully subscribe will have their investments settled on August 12, when interest earnings officially begin.
Designed to encourage broader participation in Nigeria’s investment market, each bond unit is priced at ₦1,000, allowing investors to start with a minimum subscription of ₦5,000. Additional investments can be made in multiples of ₦1,000, up to a maximum investment of ₦50 million. Interest payments will be made every quarter—on November 12, February 12, May 12, and August 12—providing investors with a steady and predictable stream of income throughout the life of the bond.
Beyond offering competitive returns, the Federal Government Savings Bond programme is aimed at deepening retail participation in Nigeria’s domestic debt market while promoting a stronger savings culture. The initiative also supports the Federal Government’s funding strategy by expanding its domestic investor base. Since the bonds are listed on the Nigerian Exchange (NGX), investors have the flexibility to sell them on the secondary market before maturity if they need access to their funds.
The DMO also highlighted several benefits attached to the investment. The savings bonds qualify as liquid assets for banks when calculating liquidity ratios and are eligible for tax exemptions under the Companies Income Tax Act and the Personal Income Tax Act for qualified investors, including pension funds. Backed by the full faith and credit of the Federal Government of Nigeria, the bonds remain one of the country’s safest investment options, making them an attractive choice for individuals seeking stable returns in an uncertain economic environment.
source: punch
