The Federal Government through the Debt Management Office (DMO) has offered green bonds valued at N100 billion for subscription at N1,000 per unit.
In a statement via its X handle on Monday, DMO explained that the latest offer consists of a N50 billion five-years re-opening bond due in April 2029 and a N50 billion (new) seven-years bond due in June 2032 , both at an interest rate of 19.3 percent semi-annually.
According to the agency, the auction date is June 23, while the settlement date is on June 25.
The announcement reads: “DMO On behalf of the FGN offers for subscription by auction and is authorized to receive applications for N50,000,000,000.00 – 19.3 percent FGN APR 2029 (5-Yr Re-opening)* N50,000,000,000.00 – FGN JUNE 2032 (7-Yr New)*
“Auction date is June 23, 2025 and settlement date: June 25, 2025.
“N1,000 per unit subject to a minimum subscription of N50,001,000 and in multiples of N1,000 thereafter.
“For re-openings of previously issued bonds, (where the coupon is already set), successful bidders will pay a price corresponding to the yield-to-maturity bid that clears the volume being auctioned, plus any accrued interest on the instrument.
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“Qualifies as securities in which trustees can invest under the Trustee Investment Act.
“Qualifies as Government securities within the meaning of Company Income Tax Act (“CITA”) and Personal Income Tax Act (“PITA”) for Tax Exemption for Pension Funds amongst other investors.
“Listed on the Nigerian Exchange Limited and FMDQ OTC Securities Exchange.
“All FGN Bonds qualify as liquid assets for liquidity ratio calculation for banks.
“FGN Bonds are backed by the full faith and credit of the Federal Government of Nigeria and are charged upon the general assets of Nigeria.”
DMO urged interested investors to contact the Access Bank Plc, Citibank Nigeria Ltd, Coronation Merchant Bank Ltd, Ecobank Nigeria Ltd, FBNQuest Merchant Bank Ltd, First Bank of Nigeria Ltd, First City Monument Bank Plc, FSDH Merchant Bank Ltd, Rand Merchant Bank Nigeria Ltd, Guaranty Trust Bank Ltd, Stanbic IBTC Bank Ltd, Standard Chartered Bank Nigeria Ltd, United Bank for Africa Plc and Zenith Bank Plc.
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