The Debt Administration Workplace (DMO) has introduced the opening of subscriptions for the November 2025 version of the Federal Authorities of Nigeria (FGN) Financial savings Bond.
The supply supplies traders with a possibility to earn engaging rates of interest whereas contributing to the nation’s financial growth by means of a safe and clear funding platform.
In accordance with particulars launched on the DMO’s web site on Monday, the 2 obtainable devices are the 2-Yr FGN Financial savings Bond due November 12, 2027, with an rate of interest of 13.565% each year, and the 3-Yr FGN Financial savings Bond due November 12, 2028, providing 14.565% each year.
The subscription interval opens on Monday, November 3, 2025, and closes on Friday, November 7, 2025, with the settlement date fastened for November 12, 2025.
Curiosity funds can be made quarterly, on February 12, Might 12, August 12, and November 12, till maturity.
Extra insights
The FGN Financial savings Bond is designed to encourage financial savings amongst Nigerians whereas providing a protected funding possibility with assured returns. The bond is accessible in items of N1,000 per unit, with a minimal subscription of N5,000 and in multiples of N1,000 thereafter, as much as a most of N50 million per investor.
In step with its options, the FGN Financial savings Bond presents a number of advantages, together with:
- Qualification as trustee securities below the Trustee Funding Act.
- Tax exemptions for Pension Funds and different eligible traders below the Firm Earnings Tax Act (CITA) and Private Earnings Tax Act (PITA).
- Itemizing on the Nigerian Change Restricted (NGX), which permits traders to commerce the bonds and enhances liquidity.
- Qualification as liquid belongings for the computation of banks’ liquidity ratios.
The bond is totally backed by the complete religion and credit score of the Federal Authorities of Nigeria and secured towards the overall belongings of the nation, making it one of many most secure funding choices within the home capital market.
The DMO emphasised that traders ought to contact any of the licensed stockbroking companies appointed as distribution brokers for the FGN Financial savings Bond.
What it is best to know
The FGN Financial savings Bond program, first launched in 2017, is a part of the Federal Authorities’s strategic plan to deepen the home debt market, promote monetary inclusion, and allow small retail traders to take part in authorities securities. By providing engaging rates of interest considerably above most typical financial savings accounts, the initiative helps shield financial savings towards inflation whereas diversifying authorities funding sources.
The comparatively excessive coupon charges are seen as a response to present inflationary tendencies and an incentive to draw extra retail participation.
Furthermore, the DMO’s constant issuance of the FGN Financial savings Bond demonstrates the administration’s confidence within the home capital market and its technique to finance budgetary wants with out over-reliance on exterior borrowing.
For small traders, the bond represents not solely a gradual earnings stream but additionally a way of nationwide contribution, as each subscription helps fund crucial authorities initiatives and infrastructure growth throughout Nigeria.