Subscription to December FGN Savings Bonds Closes Tomorrow

Ongoing subscription to the December 2023 FGN Savings Bonds is slated to close tomorrow, Friday 8.

Acting on behalf of the federal government, the Debt Management Office (DMO) on Monday initiated the subscription process for two-year and three-year Federal Government of Nigeria bonds for December 2023 with an interest rate of 12.287% and 13.287% respectively.

According to the disclosure made by DMO via its official website, the subscription period is set to last for 5 days, running from December 4th to December 8th, 2023.

It added that the bonds will mature on March 13th, 2024.

The statement reads, “Under the Debt Management Office (Establishment) Act 2003 and the Local Loans (Registered Stock and Securities) Act, CAP. L17, LFN 2004 DEBT MANAGEMENT OFFICE on behalf of the FEDERAL GOVERNMENT OF NIGERIA Offers for Subscription and is authorized to receive applications for the Federal Government of Nigeria saving bonds.”

Rates and Tenure

The interest rate for the two-year bonds stands at 12.287% per annum, while the three-year bonds offer an interest rate of 13.287% per annum.

The Office also specifies the settlement date for both bond offerings as December 13th, 2023, with coupon payments scheduled for March 13, June 13, September 13, and December 13.

These bonds will accrue interest payments every quarter.

Units of Subscription

The DMO outlines the units of subscription as “N1,000 per unit, subject to a minimum subscription of N5,000, and subsequent multiples of N1,000, with a maximum subscription limit of N50,000,000.”

Interested investors are encouraged to contact stock brokerage firms listed as authorized agents by the Debt Management Office (DMO) and the bonds are traded on the NGX (Nigerian Exchange Group).

It is important to note that FGN bonds are fully backed by the federal government of Nigeria.

# December FGN Savings Bonds #