Flash: May 2017 FGN Savings Bond offered at higher interest

Nairametrics| The Debt Management Office has announced a new round of FGN Savings Bond set for May 8 2017 and will close May 12 2017. The 2 year bond will be offered at an interest of 13.189% and 14.189% for a 3 year bond compared to 12.794% and 13.794% offered respectively in the last auction.

The FGN Savings bond still offers a lower yield when compared to Treasury Bills. One year treasury bills sold at 18.8% last week.

See offer details below;

Summary of May 2017 Offer

2-Year FGN Savings Bond due May 17, 2019: 13.189%

3-Year FGN Savings Bond due May 17, 2020: 14.189%

Opening Date: May 8, 2017

Closing Date: May 12, 2017

Settlement Date: May 17, 2017

ISSUER: Federal Government of Nigeria (“FGN”)

UNITS OF SALE: N1,000 per unit subject to a minimum Subscription of N5,000 and in multiples of N1,000 thereafter, subject to a maximum subscription of N50,000,000.

INTEREST PAYMENT: Payable Quarterly

REDEMPTION: Bullet repayment on the maturity date

Official FGN Bond Document