Nigeria offers new savings bonds to the public

The Nigerian government offered a two-year subscription savings bond at 13.18 per cent, and a three-year savings bond at 14.18 per cent.

The Debt Management Office (DMO) in a circular released in Abuja said the two-year bond will mature in May 2019, while the three-year bond will be due in May 2020.

The maximum subscription offered was N50 million at N1,000 per unit, subject to minimum subscription of N5,000 and in multiples of N1,000.

The DMO noted the bond was fully backed by the full faith and credit of the Federal Government, with quarterly coupon payments to bondholders.

The savings bond issuance is expected to help finance the nation’s budget deficit.

 

NAN/Mazino.D