The Debt Management Office (DMO) has announced higher interest rates for its January 2026 Federal Government of Nigeria (FGN) Savings Bond, offering retail investors an opportunity to earn returns of up to 15.396 per cent per annum.
The new offer, which opened for subscription on Monday, January 12, 2026, forms part of the Federal Government’s ongoing drive to broaden participation in the domestic debt market and encourage Nigerians to save through secure, government-backed instruments.
According to details released by the DMO, the January issuance comprises two tranches: a two-year bond maturing on January 21, 2028, with a coupon rate of 14.396 per cent, and a three-year bond due on January 21, 2029, offering a higher return of 15.396 per cent per annum.
The subscription window will run until January 16, 2026, while settlement is scheduled for January 21, 2026. Investors will receive interest payments on a quarterly basis — every April 21, July 21, October 21 and January 21 — until the bonds mature.
The bonds are priced at N1,000 per unit, with a minimum investment of N5,000. Additional purchases can be made in multiples of N1,000, up to a maximum investment of N50 million per subscriber.
FGN Savings Bonds are fully backed by the faith and credit of the Federal Government, making them one of the lowest-risk investment options in the Nigerian fixed-income market. They are also listed on the Nigerian Exchange Limited (NGX), enabling investors to trade them on the secondary market should they require liquidity before maturity.
In addition, interest earned on the bonds is exempt from tax for qualified investors, including pension funds and trustees, in line with provisions of the Trustee Investment Act.
Market analysts note that the latest rates reflect the prevailing high-interest-rate environment in the country. Throughout 2025, DMO bond issuances consistently posted yields in the mid-to-high teens, with some offers nearing 18 per cent, as investors sought protection against inflation and tight monetary policy conditions.
The January 2026 offer also represents an improvement on the previous month’s rates. In December 2025, the two-year FGN Savings Bond was issued at 13.565 per cent, while the three-year bond due in November 2028 carried a yield of 14.565 per cent per annum.
With the new rates, the DMO is positioning the FGN Savings Bond as an attractive option for individuals looking for stable, long-term returns in an uncertain economic climate.
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