The Nigerian Federal Government intends to raise N2.5 trillion through its second FGN bond sale.
In a circular issued on Wednesday, the Debt Management Office claimed that the sales included N1.25 trillion with a maturity date of February 2031 and N1.25 trillion with a 10-year term.
FGN savings bonds are part of the federal government’s domestic borrowing program.
Last year, the federal government raised approximately N7.06 trillion from the fixed-income market.
According to the recently signed N28.8 trillion 2024 national budget, the Federal Government expects additional borrowings to total N7.83 trillion.
Recall that in December of last year, President Bola Tinubu sought clearance from the National Assembly for approximately $8.69 billion and €100 million as part of the external borrowing strategy for 2022-2024.
The most recent FG bonds have a face value of N1,000, with a minimum subscription of N50,001,000 and subsequent increases in multiples of N1,000.
FGN bonds typically pay out interest semi-annually.
In January, the FG offered a two-year FGN Savings Bond due January 17, 2026, at 11.033 percent per annum, and a three-year FGN Savings Bond due January 17, 2027, at 12.033 percent per year.
It allocated N603.42 billion for the two-year bond and N1.394 trillion for the three-year bond.