DMO offers new Nigeria’s bonds for subscription

The Debt Management Office (DMO) has offered additional Federal Government bonds for subscription at N1,000 per unit, according to information published on its website.
The DMO said that the offer was for the Federal Government of Nigeria Savings Bond with the following details:
“Two-year FGN Savings Bond due Aug. 11, 2023, at an interest rate of 8.864 per cent, per annum.
“Three-Year FGN Savings Bond due Aug. 11, 2024, at an interest rate of 9.864 per cent, per annum.”
It stated that the offer was opened on Monday, Aug. 2 to last until Aug. 6, while fixing coupon payment dates as Aug. 11, Nov. 11, 2021, Feb.11, May 11, Aug. 11, 2022.
“Subscribers are eligible to 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.
” It qualifies as securities in which Trustees can invest under the Trustee Investment Act.
” It also qualifies as Government securities within the meaning of Company Income Tax Act (“CITA”), and Personal Income Tax Act, (“PITA”), for Tax Exemption for Pension Funds, amongst other investors.
“It is listed on the Nigerian Stock Exchange and qualifies as a liquid asset for liquidity ratio calculation for banks,” DMO explained.
The DMO added that the offer was also backed by the full faith and credit of the Federal Government of Nigeria and charged upon the general assets of Nigeria.