The Federal Government of Nigeria has successfully listed N4.214 billion of its April 2024 Savings Bonds on the Nigerian Exchange Ltd. (NGX) platform.
The move was announced in a market bulletin issued by Godstime Iwenekhai, the Head of NGX’s Issuers Regulation Department.
”The bond listing comprises two distinct specifications. The first, FGS April 2026, consists of 1.228 million units valued at N1.228 billion, offering a coupon rate of 17.046 per cent.
”The second specification, FGS April 2027, includes 2.986 million units with a total value of N2.986 billion, featuring a coupon rate of 18.046 per cent,” he said.
Iwenekhai emphasized that the bonds, as prescribed by the debt office, ”are secured against Nigeria’s general assets and enjoy the full confidence and credit support of the Federal Government.”
He further notified trading license holders that the FGN Savings Bonds for April 2024 were officially listed on NGX on May 13.
”These bonds are part of a monthly issuance by the Federal Government, offering tenors of two and three years and quarterly payment of coupons (interest) at rates predetermined and published by the Debt Management Office (DMO) every month,” he added.
Additionally, Iwenekhai highlighted the role of the DMO in introducing the retail savings bond product in 2017 on behalf of the federal government.
His words: ”This initiative aims to foster the continuous development of the domestic market by democratizing bond market activities and ensuring accessibility to Nigerians.
”Furthermore, it seeks to address the infrastructure deficit, a longstanding constraint to economic growth.
”The listing of these savings bonds on the NGX platform marks a significant step towards expanding access to investment opportunities for Nigerians while simultaneously supporting the government’s efforts to stimulate economic development and address critical infrastructure needs.”
