DMO announces October bond offers

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The Debt Management Office on Tuesday released two Federal Government Savings Bond offers for October.

Uba Group

According to a statement by the DMO, the first one is a two-year bond due in October 12, 2024 at interest rate of 11.38 per cent per annum.

The second offer is a three-year bond due in October 12, 2025 at interest rate of 12.38 per cent per annum.

The office announced that they are offered at N1,000 per unit subject to a maximum subscription of N5,000 and in multiples of N1, 000 thereafter, subject to a maximum subscription of N50million.

“Opening date is October 4; closing date is October 7; settlement date, October 12, while coupon payment dates are January 12, April 12, July 12 and October 12.

“Interest is payable quarterly and the bullet repayment (principal sum) is done on maturity.

“FGN Bond qualifies as securities in which trustees can invest under the Trustee Investment Act.

“It qualifies as government securities within the meaning of Company Income Tax Act (CITA) and Personal Income Tax Act (PITA) for Tax Exemption for Pension, amongst other Investors.

“It listed on the Nigerian Stock Exchange, and qualifies as liquid asset for liquidity ratio calculation for banks,’’ the DMO said.

It added that they are backed by the full faith and credit of the Federal Government, and charged upon the general assets of the country. (NAN)