Capital Market
FG Rolls Out April Savings Bond with Attractive 17% Returns for Investors
The Federal Government, through the Debt Management Office, has opened the April 2025 edition of its Savings Bond, offering retail investors compelling interest rates of up to 17.046% per annum.
This initiative is part of efforts to encourage public participation in low-risk investment opportunities and broaden financial inclusion.
According to the official statement, the bond issuance features two tenors with maturity dates in April 2027 and April 2028, offering interest rates of 16.046% and 17.046% respectively. The subscription window is open from April 7 to April 11, 2025, with April 16 set as the settlement and initial coupon payment date.
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Investors will receive interest quarterly on fixed dates in July, October, January, and April, providing consistent income throughout the bond’s life cycle. The bonds are accessible to individual investors starting from as little as N5,000, with provisions to invest in higher amounts up to N50 million.
In addition to offering competitive returns, the bonds are tax-exempt for certain investors and are recognized as qualified investments under relevant Nigerian financial laws. They are also listed on the Nigerian Exchange, allowing investors the flexibility to trade in the secondary market. These bonds count as liquid assets for banks, meeting liquidity requirements.
Backed by the full faith and credit of the Federal Government of Nigeria, the savings bond is considered a secure investment option, particularly appealing during a period of rising inflation and uncertainty in traditional savings products.
Investors seeking safe and predictable returns are encouraged to consult licensed stockbrokers or visit the DMO’s official platform for details on how to subscribe to the offering.