DMO opens August Savings Bond offer with returns up to 14.96%

The Debt Management Office (DMO) has opened the August 2026 Federal Government of Nigeria (FGN) Savings Bond offer, with an annual interest of up to 14.963%.

The DMO announced the offer on Monday, allowing investors to subscribe to either a two-year or three-year FGN Savings Bond, depending on their preferred investment period.

The latest offer provides investors with quarterly interest payments and is backed by the full faith and credit of the Federal Government of Nigeria.

What the DMO is saying

The two-year FGN Savings Bond, which is due on August 12, 2028, offers an interest rate of 13.963% per annum, while the three-year bond, due on August 12, 2029, offers 14.963% per annum.

The subscription opened on August 3, 2026 and will close on August 7, with settlement scheduled for August 12, 2026.

Interest payments will be made quarterly on November 12, February 12, May 12 and August 12, while the principal will be repaid in full at maturity, the DMO circular noted.

More insights

The latest offer comes after the DMO allotted N929.32 billion across three FGN bond offerings at its July 2026 bond auction, following bids worth N1.74 trillion from investors.

The DMO said investors submitted a combined 556 bids valued at N1.74 trillion, with 308 bids accepted across the three bond tenors.

• The 22.60% FGN January 2035 bond attracted subscriptions of N555.47 billion, with N245.73 billion allotted at a marginal rate of 18.34%.
• The 16.2499% FGN April 2037 bond recorded the highest demand, receiving N665.19 billion in subscriptions, while N381.46 billion was allotted at a marginal rate of 18.35%.
• The 15.45% FGN June 2038 bond received N518.00 billion in subscriptions, with N302.13 billion allotted to investors, including a N50 billion non-competitive allotment, at a marginal rate of 18.40%.

Nairametrics earlier reported that the DMO opened the July 2026 FGN Savings Bond subscription, offering Nigerians investment opportunities with returns of up to 15.716% per annum, the highest interest rate compared with previous issuances since the beginning of the year.

What you should know

The FGN Savings Bond is structured to allow retail investors to participate in government securities with a relatively low entry point.

• The units are priced at N1,000 each, with a minimum subscription of N5,000 and subsequent subscriptions available in multiples of N1,000, subject to a maximum subscription of N50 million.
• The bond is also listed on the Nigerian Exchange Limited and qualifies as a liquid asset for liquidity ratio calculations for banks.
• The DMO said the FGN Savings Bond qualifies as a security in which trustees can invest under the Trustee Investment Act and as a government security under the Company Income Tax Act and Personal Income Tax Act for tax exemption purposes for pension funds, among other investors.
• The bond is backed by the full faith and credit of the Federal Government of Nigeria and charged upon the general assets of Nigeria, according to the DMO.

Interested investors are expected to contact the stockbroking firms appointed by the DMO as distribution agents to participate in the offer.