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🇳🇬 Nigeria /Economy & Trade

DMO opens July FGN Savings Bond at 15.716%

From The Punch · () English

Summarized and contextualized by DistantNews.

At a glance

News Official statement New plan
  • Nigeria's Debt Management Office (DMO) has launched its July FGN Savings Bond offering, with interest rates reaching up to 15.716% per annum.
  • This issuance presents the highest interest rate recorded this year, a significant increase from the previous month's rates.
  • The bonds, available in two- and three-year tenors, aim to provide secure investment options and promote financial inclusion among Nigerians.

The Debt Management Office (DMO) has opened subscriptions for the July 2026 FGN Savings Bond, offering Nigerians an investment opportunity with annual returns as high as 15.716 percent. This latest offering represents the highest interest rate compared to previous issuances this year. The DMO announced the offer on behalf of the Federal Government of Nigeria.

The subscription window, which opened on July 6, will close on July 10, 2026, with settlement scheduled for July 15. This provides retail investors access to low-risk, government-backed securities. The DMO stated that the bond issuance is part of ongoing efforts to provide secure investment options while promoting financial inclusion and savings among Nigerians, emphasizing the safety and liquidity of the instrument.

The bond issuance is part of ongoing efforts to provide secure investment options while promoting financial inclusion and savings among Nigerians.

— Debt Management Office (DMO)Explaining the purpose of the FGN Savings Bond offering.

The July 2026 offer includes two distinct bond instruments. The first is a two-year FGN Savings Bond maturing on July 15, 2028, offering a 14.716 percent annual interest. The second is a three-year bond maturing on July 15, 2029, providing a higher return of 15.716 percent annually. These new rates signify an increase of over 94 basis points compared to the June Savings Bonds offer, marking one of the sharpest month-on-month increases in the savings bond program this year.

The bonds are priced at N1,000 per unit, with a minimum subscription of N5,000 and a maximum of N50,000,000. Interest payments are made quarterly, and the principal is repaid in full at maturity. The FGN Savings Bond offers several benefits, including tax exemptions and backing by the full faith and credit of the Federal Government of Nigeria. They are also listed on the Nigerian Exchange Limited, allowing for secondary market trading.

Interest payments are made quarterly on 15 October, 15 January, 15 April, and 15 July, while the principal is repaid in full at maturity via bullet repayment.

— Debt Management Office (DMO)Detailing the payment structure of the FGN Savings Bond.
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Originally published by The Punch. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.

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