The Debt Management Office (DMO) acting on behalf of the Federal Government is looking at raising N100 billion from June 2025 bond auctions. The DMO, in a statement, said the auction is scheduled for June 23, while the settlement date is June 25.
The offer includes two categories of bonds. The first is an offer of N50 billion FGN April 2029 with a five-year maturity period, offered at 19.3 per cent.
The bond was initially offered for N100 billion in May 2025; it has now been reduced to N50 billion.The second is a N50 billion FGN June 2032 with a seven-year maturity period, offered at 19.89 per cent.
Like in the previous months, the bonds form a significant part of the government’s domestic borrowing strategy to finance the 2025 budget deficit.
The bonds are available in units of N1,000, with a minimum subscription set at N50,001,000.
DMO said investors could increase their subscriptions in increments of N1,000. They offer semi-annual interest payments, ensuring consistent income for holders and will be redeemed in full upon maturity, providing a lump-sum repayment.
According to the DMO, tax exemptions under the Company Income Tax Act and the Personal Income Tax Act apply to the bonds, making them particularly attractive to pension funds and other approved investors.
Listed on the Nigerian Exchange Limited and FMDQ OTC Securities Exchange, the bonds are easily accessible and tradable. Also, financial institutions could use them to meet liquidity ratio requirements as they are recognised as liquid assets. The bonds are backed by the full faith and credit of the Federal Government, adding a layer of security for investors.
