Savings Bonds Subscription For September Is On
Remember the Savings Bonds which the government is using to borrow from ordinary people.
It started since March and it has been sold every month ever since.
Just so you know, the one for September started on Monday and it will continue till Friday this week.
The government is offering for subscription 2-year savings bond at 13.81% and a 3-year savings bond at 14.81%.
According to the offer circular by the DMO, the 2-year bond will be due in September 2019 while the 3-year bond will be due in September 2020.
It, however, did not state how much was offered, but added that the maximum subscription was 50 million naira at 1,000 naira per unit, subject to minimum subscription of 5,000 naira and in multiples of 1,000 naira.
This means that you cannot invest less than 5,000 naira or more than 50 million naira.
On its website, the DMO said the bond was fully backed by the faith and credit of the Federal Government and interest will have to be paid every 3 months to the bondholders.
The savings bond issuance is expected to help finance Nigeria’s more than 2 trillion-naira budget deficit.
It is to also part of the Federal Government’s programme targeted at the lower income earners to encourage savings and earn more income (interest), compared to their savings accounts with banks.