The Debt Management Office (DMO) has launched the July 2025 Federal Government of Nigeria (FGN) savings bonds, offering investors attractive interest rates of up to 16.762% per annum.
The subscription window opened on Monday, July 7, 2025, and will close on Friday, July 11, 2025.
The DMO made the announcement in a circular published on its website on Monday.
This month’s bond offering includes two options: a two-year savings bond maturing on July 16, 2027, with an interest rate of 15.762%, and a three-year bond maturing on July 16, 2028, offering 16.762%.
Each bond unit is priced at N1,000, with a minimum subscription of N5,000 and additional investments in multiples of N1,000, allowing investors to subscribe for up to N50 million.
The settlement date for successful subscriptions is set for October 16, January 16, April 16, and July 16 each year.
This offering gives Nigerians the opportunity to invest in government-backed bonds, contributing to personal and national financial stability.
Slight decrease in interest rates
The 16.762% interest rate represents a decrease from June 2025, when the rate stood at 17.121% per annum for the 3-year bond. Similarly, the 2-year bond rate declined to 15.762%, down from 16.121% in June.
This is likely driven by the Central Bank of Nigeria’s (CBN) decision to retain policy rates at 27.5% in recent months.
The CBN’s strategy to address inflation and stabilize the foreign exchange market has made Nigerian bonds more attractive, particularly to foreign portfolio investors (FPIs) looking for higher yields.
Results from June Savings Bond
In June 2025, the Federal Government raised N4.01 billion through its FGN savings bond auction, reflecting strong demand for long-term securities.
The June 2025 allotment is slightly lower than the N4.28 billion recorded in May 2025.
DMO data reveals that the 2-year bond received N2.01 billion in total allotments, with 1,202 successful subscriptions, while the 3-year bond attracted N1.995 billion, spread across 1,321 successful subscriptions in June 2025.
What you should know
The Federal Government of Nigeria (FGN) Savings Bond programme, introduced in 2017, was designed to deepen the domestic bond market, promote financial inclusion, and offer retail investors access to secure and low-risk government securities.
- The FGN Savings 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). This makes it eligible for tax exemption by pension funds and other qualified institutional investors.
- Furthermore, the bonds are listed on the Nigerian Exchange Limited (NGX), providing investors with the option to trade them on the secondary market and enhancing overall liquidity. They also qualify as liquid assets for the purpose of computing banks’ liquidity ratios.
- Over the years, FGN Savings Bonds have become increasingly popular among Nigerians looking for safe and predictable investment options. Amid concerns over inflation and volatile interest rates in traditional savings products, these government-backed bonds offer stability and consistent returns.
I’m a junior member of nigeria civil savant. Earning a little per month and dream to become and investor one day. I will be so happy and grateful if nigeria government can offer me a chance to start from here with the little I’m earning .