₦150 Billion FGN Bonds to Open for Subscription June 17
Investors with interest in fixed interest income financial instrument can buy the Federal Government 5-year Bond at 12.75%.
The Debt Management Office (DMO) says ₦150 billion worth of Federal Government of Nigeria’s bonds will be up for subscription on June 17.
The DMO said in a circular on its website on Tuesday in Abuja, that the five-year re-opening bonds of ₦40 billion to mature in April 2023 was offered at 12.75 percent.
It said that the 15-year re-opening bonds of ₦50 billion to mature in March 2035 would be auctioned at 12.50 per cent.
It added that the ₦60 billion 30-year bonds, to be due in March 2050, would be auctioned at 12.98 per cent.
According to the DMO, units of sale is ₦1,000 per unit, subject to a minimum subscription of ₦50 million and in multiples of ₦1,000 thereafter.
The DMO explained that the bonds are backed by full faith and credit of the Nigerian Government.
However, the nature of the bonds provide that interest will be payable semi-annually to bondholders.
That means twice in a year, subscribers would receive interest on the amount purchased.
Meanwhile, at maturity date, a bullet repayment would be made.
Nigeria issues sovereign bonds monthly to support the local bond market, create a benchmark for corporate issuance and fund its budget deficit.
₦150 Billion FGN Bonds to Open for Subscription June 17
