Nigerian Exchange Limited has revealed that the total allotments for FGN Savings Bonds have risen to N5.06bn within the first five months of 2023.
The Divisional Head, Capital Markets at NGX, Jude Chiemeka, made this known during the NGX Savings Bond webinar 2023 organised in collaboration with the fintech platform, Optimus by Afrinvest, supported by the Debt Management Office and CSL Stockbrokers on Thursday.
Chiemeka said, “FGN Savings Bonds market has remained on the upward trend in the current year (from January to May) with allotments at an average of N1.01 bn (Total allotments from January – May stands at N5.06 billion). However, there remains an opportunity for further participation by the investing public.
“As inflation remains unrelentingly on the upward trajectory (Now at 22.22 per cent as of May) the yields on FGN Savings Bond which are in double digits offer an opportunity for investors to taper negative real interest rates.”
The Director-General, DMO, Ms Patience Oniha, represented by the Director, Market Development Department, DMO, Monday Usiade, during the webinar, revealed that FG had successfully raised N50.2bn from about 35,000 subscribers.
The DG added that the DMO uses the FGN bond benchmark yield curve to price the savings bond to ensure that retail investors earn comparable returns.
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