Aduragbemi Omiyale
By Aduragbemi Omiyale
In order to encourage low-income earners and retail investors to imbibe a savings culture, the Nigerian Exchange (NGX) Limited is organising a webinar on FGN savings bonds on Thursday, May 25, 2023.
Recall that some years ago, the Debt Management Office (DMO), on behalf of the Federal Government of Nigeria (FGN), launched a retail investment programme, the FGN Savings Bond, to help enhance the savings culture among Nigerians while providing all citizens, irrespective of income level, an opportunity to contribute to national development; as well as the comparatively favourable returns available in the capital market.
FGN Savings Bond is safe and backed by the full faith and credit of the Federal Government of Nigeria, with quarterly coupon payments to bondholders.
In line with its mandate to promote investor participation in Nigeria’s capital market and enhance the secondary market, the NGX is partnering with Afrinvest for this programme, which will have several experts in attendance.
Some of them include the Director of Market Development at DMO, Monday Usiade; the CEO of CSL Stockbrokers, Biodun Fagbulu; the MD of Optimus by Afrinvest, Ayodeji Ebo; and the Divisional Head of Capital Markets at NGX, Jude Chiemeka, while Kalu Aja, financial planner and finance influencer, will moderate the scheduled panel session.
A recent report disclosed that the bourse saw N11.23 billion in FGN bond listings, which constituted FGN Savings Bonds with maturities ranging between 2024 and 2026.
Lagos State Government issued the only bond by a sub-sovereign entity with its N137.33 billion series 1V, 10-year 13 per cent, Fixed Rate Bonds due 2031 under its N500 billion debt issuance program.
The corporate bond segment recorded N112.42 billion senior unsecured bond listing from Dangote Industries Funding Plc and N31.36 billion in Sukuk Issuances from Taj Bank and Family Homes under their respective Sukuk Issuance programmes.
