The Debt Management Office (DMO) has announced the opening of the subscription window for the July 2025 Federal Government of Nigeria (FGN) Savings Bonds, offering Nigerians an opportunity to invest in secure, government-backed instruments with competitive returns. The offer runs from Monday, July 7, 2025, to Friday, July 11, 2025.
This month’s issuance features two bond options designed to cater to investors with different financial goals. The first is a two-year savings bond maturing on July 16, 2027, carrying an interest rate of 15.762% per annum. The second is a three-year bond maturing on July 16, 2028, with an interest rate of 16.762% per annum. The bonds are priced at ₦1,000 per unit, with a minimum subscription of ₦5,000 and additional investments in multiples of ₦1,000, up to a maximum of ₦50 million.
Interest payments will be made quarterly, while the principal amount will be repaid in full at maturity. The bonds are listed on the Nigerian Exchange Limited (NGX), providing investors the flexibility to trade them in the secondary market if desired.
The FGN Savings Bond programmed, introduced in 2017, aims to broaden participation in the domestic bond market, promote financial inclusion, and offer Nigerians, including small-scale investors, access to low-risk and stable investment options. These bonds also qualify as approved investments under the Trustee Investment Act and are recognized as government securities under both the Company Income Tax Act (CITA) and the Personal Income Tax Act (PITA), making them eligible for tax exemption by pension funds and other qualified investors.
The interest rates for July reflect a modest decrease from the previous month when the three-year bond offered a rate of 17.121% and the two-year bond stood at 16.121%. This downward adjustment is likely linked to the Central Bank of Nigeria’s (CBN) decision to maintain the Monetary Policy Rate (MPR) at 27.5%, as part of broader efforts to manage inflation and stabilize the foreign exchange market. Despite this decline, Nigerian bonds remain attractive, especially to foreign and institutional investors seeking higher returns in emerging markets.
The June 2025 bond issuance highlighted continued strong investor demand, with the Federal Government raising ₦4.01 billion slightly below the ₦4.28 billion recorded in May. The two-year bond in June attracted ₦2.01 billion with over 1,200 successful subscriptions, while the three-year bond secured ₦1.995 billion from 1,321 subscribers.
The FGN Savings Bond remains a compelling choice for investors looking for predictable returns and safety in uncertain economic times. It offers an accessible pathway for individuals to grow their savings while contributing to national development through government financing.
Investors are encouraged to take advantage of this offering before the subscription window closes on July 11, 2025, by contacting licensed stockbrokers or visiting the official DMO
