The Debt Management Office (DMO) has opened subscriptions for the October 2025 Federal Government of Nigeria (FGN) Savings Bonds, offering interest rates of 14.062% for the 2 year tenor and 15.062% for the 3 year tenor.
According to a circular issued on Monday, the offer opened on October 6, 2025, and will close on October 10, 2025, with settlement scheduled for October 15, 2025. Coupon payments will be made quarterly on January 15, April 15, July 15, and October 15 each year.
The DMO stated that the 2 year bond will mature on October 15, 2027, while the 3 year bond will mature on October 15, 2028, with interest payable quarterly and full principal repayment at maturity.
The latest rates represent a decline from 15.541% and 16.541% recorded in September, reflecting the Central Bank of Nigeria’s (CBN) decision at its last Monetary Policy Committee meeting to lower the policy rate to 27% in a bid to stabilise inflation and the foreign exchange market.
The DMO explained that the bonds, issued on behalf of the Federal Government, are backed by the Debt Management Office (Establishment) Act, 2003 and the Local Loans (Registered Stock and Securities) Act, CAP L17, Laws of the Federation of Nigeria 2004.
Each bond unit is priced at ₦1,000, with a minimum subscription of ₦5,000 and additional investments in multiples of ₦1,000, up to a maximum of ₦50 million.
The FGN Savings Bond qualifies as an approved investment under the Trustee Investment Act and is recognised as a government security under the Company Income Tax Act (CITA) and the Personal Income Tax Act (PITA), making it eligible for tax exemption by pension funds and other institutional investors.
Listed on the Nigerian Exchange Limited (NGX), the savings bond offers retail investors a secure and tradable investment option while enhancing liquidity in the capital market.
Introduced in 2017, the FGN Savings Bond programme aims to deepen the domestic debt market, promote financial inclusion, and provide Nigerians with access to low risk, government backed securities.