Buhari goes for more loans as Debt Mgt. Office issues  2 bond offers for October

President Muhammadu Buhari is going for more domestic loans, as the Debt Management Office (DMO) on Tuesday announced the issuance of two Federal Government Savings Bond offers for October.

The DMO in a statement indicated that the first bond offer is a two-year bond due in October 12, 2024 at interest rate of 11.38 per cent per annum.

The second offer is a three-year bond due in Oct. 12, 2025, at interest rate of 12.38 per cent per annum.

The DMO said that the bonds are offered at N1,000 per unit subject to a maximum subscription of N5,000 and in multiples of N1, 000 thereafter, subject to a maximum subscription of N50million.

According to the DMO, “Opening date is Oct. 4; closing date is Oct. 7; settlement date, Oct. 12, while coupon payment dates are Jan. 12, April 12, July 12 and Oct. 12.

“Interest is payable quarterly and the bullet repayment (principal sum) is done on maturity.

“FGN Bond qualifies as securities in which trustees can invest under the Trustee Investment Act.

“It qualifies as government securities within the meaning of Company Income Tax Act (CITA) and Personal Income Tax Act (PITA) for Tax Exemption for Pension, amongst other Investors.

“It listed on the Nigerian Stock Exchange, and qualifies as liquid asset for liquidity ratio calculation for banks.”