DMO offers N200bn FGN bonds for subscription

By Elizabeth Adegbesan

The Federal Government of Nigeria (FGN) done the Debt Management Office (DMO) has offered a 5-year and 7-year enslaved valued astatine N100 cardinal each for subscription astatine N1,000 per unit.

DMO announced the connection connected its Twitter grip yesterday, noting that the subscription portion is taxable to a minimum subscription of N50,001,000 and successful multiples of N1,000 thereafter.

It explained that the 5-year (reopening) FGN    enslaved is owed August 2030 portion the 7-year (re-opening)    FGN    enslaved volition beryllium owed by June 2032, some astatine 17.95 percent which tin beryllium paid semi-annually.

The bureau said the auction day for subscription is September 29th, 2025 and the colony day is October 2, 2025. It besides noted coupon outgo dates tally done October 16, January 16, April 16 and July 16.

“DMO connected behalf of FGN offers for Subscription by Auction and is authorized to person applications for N100 billion    at    17.945    percent FGN AUG 2030 (5- year    re-opening) and N100 cardinal at    17.95 percent FGN June 2032 (7-year re-opening). The auction day is September 29, 2025 and the colony day is October 2, 2025.

“Summary of merchantability is N1,000 per portion taxable to a minimum subscription of N50,001,000 and successful multiples of N1,000 thereafter.”

On involvement rate, DMO said: “For re-openings of antecedently issued bonds, (where the coupon is already set), palmy bidders volition wage a terms corresponding to the yield-to-maturity bid that clears the measurement being auctioned, positive immoderate accrued involvement connected the instrument. Interest is payable semi-annually.

“The FGN Bonds qualifies arsenic securities successful which trustees tin put nether the Trustee Investment Act. 2, qualifies arsenic Government securities wrong the meaning of Company Income Tax Act (“CITA”) and Personal Income Tax Act (“PITA”) for Tax Exemption for Pension Funds amongst different investors.

“It is listed connected the Nigerian Exchange Limited and FMDQ OTC Securities Exchange. All FGN Bonds suffice arsenic liquid assets for liquidity ratio calculation for banks”    

The station DMO offers N200bn FGN bonds for subscription appeared archetypal connected Vanguard News.