This is to bring to the notice of the public that the Debt Management Office (DMO), on behalf of the Federal Government of Nigeria (FGN), wishes to introduce a retail savings product that will be accessible to all income groups – the FGN Savings Bond.
Kindly note that the FGN Savings Bond for July 2019 opened on Monday, July 1, 2019.
For a clear understanding of what FBN Bonds is all about, please check here…
Details are as highlighted below:
2 Year FGN Savings Bond
|July 10, 2021: Coupon 11.195% per annum|
3 Year FGN Savings Bond
|July 10, 2022: Coupon 12.195% per annum|
Monday, July 1, 2019
Friday, July 5, 2019
Wednesday, July 10, 2019 (this is the date the bonds will be credited into your CSCS Account domiciled with your broker).
Units of Sale
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.
Quarterly (Coupon rate divided by 4)
Bullet payment on the maturity date
Coupon Payment Dates: October 10, January 10, April 10, July 10
- To deepen the national savings culture.
- To provide the opportunity to all citizens irrespective of income level to contribute to National Development.
- To enable all citizens to participate in and benefit from the favourable returns available in the capital market.
- To diversify funding sources for the Government.
- Interest income is paid quarterly directly into the bond holder’s account.
- The Bond is acceptable as collateral for loans by banks and can be sold for cash in the secondary market before maturity.
- Good for savings towards retirement, marriage, school fees, house projects, etc.
- Safety: backed by the full faith and credit of the Federal Government of Nigeria.
The Bond will be listed on the Nigeria Stock Exchange for trading and provides liquidity for investors who want to exit before maturity.
Investors are to subscribe through stockbroking firms trading on the floor of The Nigerian Stock Exchange (NSE) and accredited by the DMO to act as Distribution Agents. (Please visit www.dmo.gov.ng for the list of accredited Stockbroking Firms).
On settlement date, CSCS will credit investor’s account with the volume of bonds purchased.