The Federal Government FG of Nigeria, through the Debt Management Office (DMO), has launched a fresh round of the Federal Government FG of Nigeria Savings Bond for June 2025, offering competitive interest rates to attract retail investors.
According to the DMO, this month’s offer features two bond options. The first is a two-year savings bond maturing on June 11, 2027, with an annual interest rate of 16.121%.
The second is a three-year savings bond, set to mature on June 11, 2028, offering a more attractive annual return of 17.121%.
Subscriptions opened on June 2, 2025, and will close on June 6, 2025. Settlement is scheduled for June 11, 2025, while interest (coupon) payments will be made quarterly—on September 11, December 11, March 11, and June 11 throughout the duration of the bonds.
Each bond unit is priced at ₦1,000, with a minimum investment of ₦5,000 and subsequent subscriptions in multiples of ₦1,000. The maximum subscription per investor is ₦50 million, making the bond accessible to both small and large-scale investors.
The FGN Savings Bond is considered a safe and low-risk investment. Backed by the full faith and credit of the Federal Government. It qualifies under the Trustee Investment Act, is listed on the Nigerian Exchange Limited (NGX). It is exempt from taxes for pension funds under relevant tax laws.
Additionally, the bond qualifies as a liquid asset for bank liquidity ratio calculations.
In related developments, data from the May 2025 FGN bond auction revealed strong investor demand for longer-term instruments. Particularly the 19.89% FGN May 2033 bond. While interest in shorter-term bonds, such as the 19.30% FGN April 2029 bond, remained relatively low.
