Aduragbemi Omiyale
By Aduragbemi Omiyale
Retail investors interested in purchasing the FGN savings bonds can now begin to do so as the Debt Management Office (DMO) has opened a subscription for the retail debt instrument for September 2022.
The sale of the paper for low-income earners commenced on Monday, September 5 and will end on Friday, September 9, according to a circular issued by the agency yesterday.
The notes are offered in the usual two maturities of two years and three years, with the coupon at 11.04 per cent and 12.04 per cent respectively.
All that is required to buy the savings bonds is just a minimum of N5,000 through any of the accredited sellers, which include stockbrokers and others. The maximum amount for a subscription is N50 million.
The FGN savings bond was created to meet the investment needs of low-income earners in the country. It was designed to investors save money and earn more.
The bond qualifies as securities in which trustees can invest under the Trustee Investment Act and is tax-free because it qualifies as government securities within the meaning of the Company Income Tax Act (CITA) and Personal Income Tax Act (PITA) for Tax Exemption for Pension Funds, amongst other investors.
