Business News

DMO opens FGN November savings bonds at 13.4% interest rate 

The Debt Management Office (DMO) has initiated the subscription process for two-year and three-year Federal Government of Nigeria bonds for October with an interest rate of up to 13.4%. 

This announcement was made in a statement on the DMO’s official website. The subscription period is set to last for 5 days, running from November 6th to November 10th, 2023. 

The bonds will mature on November 15th, 2025, and November 15th, 2026, for the two-year and three-year bonds respectively. 

The interest rate for the two-year bonds stands at 12.464% per annum, while the three-year bonds offer an interest rate of 13.464% per annum. 

The statement also specifies the settlement date for both bond offerings as November 15th, 2023, with coupon payments scheduled for February 15, May 15, August 15, and November 15. 

These bonds will accrue interest payments every quarter. 

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.