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The Federal Government, through the Debt Management Office (DMO), has announced the listing of N260 billion worth of Federal Government bonds for subscription in its October 2025 auction.
The offer, which opened on Monday, October 27, 2025, includes a five-year and seven-year reopening valued at N130 billion each. According to details released by the DMO, the auction comprises a “N130bn 17.945 per cent Federal Government of Nigeria August 2030 bond (five-year reopening)” and a “N130bn 17.95 per cent FGN June 2032 bond (seven-year reopening).”
The DMO stated that the auction will be settled on October 29, 2025, with each bond priced at N1,000 per unit, subject to a minimum subscription of N50,001,000 and thereafter in multiples of N1,000.
The circular, shared via the DMO’s official X (formerly Twitter) handle, also confirmed that interest on the bonds would be paid semi-annually, while principal repayment would be made in full at maturity.
The Office said the Federal Government Savings Bond programme, first introduced in 2017, remains part of its strategy to broaden domestic participation in the bond market, promote financial inclusion, and give retail investors access to safe, low-risk investment options.
It added that the bonds are fully backed by the faith and credit of the Federal Government of Nigeria and are charged upon the general assets of the nation.
The DMO also reiterated that the FGN Savings Bonds qualify as legitimate government securities under Nigerian laws, including the Trustee Investment Act, the Company Income Tax Act (CITA), and the Personal Income Tax Act (PITA).
This means investors such as pension funds and trustees can invest in them and enjoy tax exemptions provided by the law.
Furthermore, the bonds are listed on the Nigerian Exchange Limited (NGX) and FMDQ OTC Securities Exchange, which allows investors to trade them in the secondary market.
The DMO explained that the instruments also qualify as liquid assets for banks, which can be used to meet liquidity ratio requirements set by the Central Bank of Nigeria (CBN).
The DMO encouraged both institutional and individual investors to participate in the auction by approaching any of the accredited primary dealer market makers, including Access Bank Plc, First Bank of Nigeria Limited, Stanbic IBTC Bank Limited, Citibank Nigeria Limited, First City Monument Bank Plc, and Standard Chartered Bank Nigeria Limited.
It described the auction as part of ongoing efforts to strengthen domestic borrowing, reduce reliance on external loans, and deepen Nigeria’s capital market.
Recent data shows increasing investor interest in Federal Government securities. According to figures from the DMO, about N3.03 trillion was raised from FGN Savings Bonds in the first eight months of 2025 alone.
An analysis of the monthly FGN bond auction results between January and August 2025 revealed that while the DMO offered approximately N2.13 trillion across various maturities, total subscriptions reached N4.94 trillion, showing high investor appetite for long-term bonds.
Analysts say the steady subscription levels reflect growing confidence in government debt instruments, given the relatively stable yield environment and the guaranteed returns they offer.
With Nigeria’s inflation rate remaining high and the naira facing pressure, many investors are turning to government-backed securities as a safe haven for wealth preservation and predictable income.
The October auction, therefore, presents another opportunity for investors to diversify portfolios and secure stable returns amid economic uncertainty.
By expanding the FGN bond offerings and maintaining transparency in debt issuance, the Federal Government aims to encourage savings culture, deepen the capital market, and ensure sustainable financing for national development.
As the DMO continues its monthly auctions, experts say consistent participation from both retail and institutional investors will play a crucial role in supporting government financing while offering citizens a secure investment alternative in a volatile economy.
