N50bn Green Bond: FG Opens Subscription at N1,000 Per Unit

The Federal Government of Nigeria, via the Debt Management Office (DMO), has opened a new Green Bond offering worth N50 billion, available for public subscription at N1,000 per unit.

In a statement released on Tuesday in Abuja, the DMO revealed that the bond is a 5-year tenor investment, set to mature in 2030. 

The bond carries an annual interest rate ranging between 18.75% and 19.25%, making it an appealing option for environmentally conscious investors seeking strong returns.

“The opening date is June 16, closing date, 18, and settlement date, 23.

“It is offered at N1, 000 per unit, subject to a minimum subscription of N10 billion and in multiples of N1 million thereafter.

“Coupon payment is made half yearly while bullet repayment (principal sum) is on maturity.”

The DMO said that proceeds would be used solely to fund green projects as well as assets and expenditure which aligned with the “Sustainable Bond Framework”.

The DMO said that the Green Bond qualified as securities in which trustees could invest under the Trustees Investment Act.

“It qualifies as government securities within the meaning of the Company Income Tax Act and Personal Income Tax Act for tax exemption for pension funds among others.

“It is to be listed on the Nigerian Exchange Limited and FMDQ Securities Exchange Limited,” it said.

The DMO urged interested investors to contact the Financial Advosors, Chapel Hills Advisory Limited and Stambic IBTC Capital Limited.

NAN