The Federal Government is offering investors up to 16.541% per annum in the September 2025 issuance of its savings bonds.
According to a circular published by the Debt Management Office (DMO) on Monday, the subscription window for the bonds will close on Friday, September 5, 2025, with settlement scheduled for Tuesday, September 10, 2025. Interest (coupon) payments will be made quarterly—on March 10, June 10, September 10, and December 10—credited directly to investors.
For this issuance, the DMO has offered two categories of the Federal Government of Nigeria (FGN) Savings Bond. The first is a two-year bond maturing on September 10, 2027, which carries an annual interest rate of 15.541%. The second is a three-year bond maturing on September 10, 2028, offering a higher interest rate of 16.541% per annum.
These represent a notable increase compared to the previous month. In August, the two-year bond carried an interest rate of 14.401%, while the three-year bond stood at 15.401%.
Launched in 2017, the FGN Savings Bond programme aims to deepen the domestic bond market, enhance financial inclusion, and provide retail investors with access to safe and low-risk government securities. Each bond unit is priced at ₦1,000, with a minimum subscription of ₦5,000. Additional investments can be made in multiples of ₦1,000, up to a maximum of ₦50 million.
The bond qualifies as an approved investment under the Trustee Investment Act and is also recognised as a government security under both the Company Income Tax Act (CITA) and the Personal Income Tax Act (PITA), making it eligible for tax exemption by pension funds and other qualified institutional investors.
