FG courts retail investors with February savings bond

The Debt Management Office (DMO), on behalf of the Federal Government of Nigeria (FGN), has opened subscriptions for the February 2026 issuance of the FGN Savings Bond, offering investors annual returns of up to 15.356 per cent.

Details of the offer were contained in a circular issued by the DMO, which outlined the bond’s tenors, interest rates, and subscription timeline. The savings bond forms part of the Federal Government’s broader strategy to deepen retail participation in the domestic debt market while providing individuals with a low-risk investment vehicle.

The February 2026 offer features two maturity options and follows a similar issuance in January, underscoring the government’s continued reliance on savings bonds to mobilise domestic funds. The bonds are issued in units of N1,000 each, with a minimum subscription of N5,000 and additional investments in multiples of N1,000.

Under the offer terms, the two-year FGN Savings Bond, due on February 11, 2028, carries an interest rate of 14.356 per cent per annum, while the three-year FGN Savings Bond, maturing on February 11, 2029, offers a higher return of 15.356 per cent per annum.

The subscription window opened on February 2, 2026, and will close on February 6, 2026, with settlement scheduled for February 11, 2026.

Interest on the bonds will be paid quarterly on May 11, August 11, November 11, and February 11 throughout the life of the instruments. Principal will be repaid in full at maturity through a bullet repayment.

The February issuance reflects a slight moderation in yields compared to the previous month. In January, the DMO offered FGN Savings Bonds with interest rates of up to 15.396 per cent per annum. The marginal adjustment suggests evolving yield dynamics in the domestic fixed-income market amid shifting liquidity and interest rate conditions.

Despite the moderation, the February rates remain relatively elevated, preserving the attractiveness of the bonds to retail investors seeking stable returns backed by the full faith and credit of the Federal Government.