FG securities will benefit all categories of investors – DMO assures Kaduna residents

The Debt Management Office (DMO) says federal government securities are designed to meet the investment needs of all categories of investors.

Patience Oniha, the Director-General of the DMO, said this at the FGN Securities Issuance Awareness Programme in Kaduna on Thursday.

Oniha, who was represented by Mrs. Jumai Saidu-Ahmed, Team Leader, Domestic Debt Unit, said that FGN securities were default risk-free and backed by the full faith and credit of the Federal Government.

She said that the awareness programme was a collaborative effort of the DMO and CSL Stockbrokers Limited, the Federal Government’s stockbroking firm.

“The programme is designed to create more awareness about the immense benefits of investing in FGN securities," she said.

She listed the existing FGN securities as the FGN Bond, the FGN Savings Bond, the Sukuk Bond, the Green Bond, and Treasury Bills.

She particularly urged retail investors to take advantage of the FGN savings bond, which had a minimum subscription of N5,000.

“It is easily accessible to retail investors and attracts a guaranteed quarterly coupon payment," she said.

She said that the DMO was a federal government agency saddled with the responsibility of managing the country’s public debt portfolio.

“In discharging that responsibility, the DMO also has the responsibility of issuing FGN securities, which offer good investments for Nigerians.

“By investing in these securities, citizens are also contributing to nation-building,” she said.

According to Mr. Abiodun Fagbulu, the Chief Executive Officer of CSL Stockbrokers Limited, FGN securities help finance deficits in the federal budget.

Fagbulu, who was represented by Mr. Richard Akinmoladun, Head, Property Trading, CSL, said that FGN securities also helped in developing the domestic financial market.

“They are listed on the Nigerian Exchange Limited and FMDQ Securities Exchange Limited and can be traded at any time.

“They also promote financial inclusion and attract foreign investment into the domestic financial markets,” he said.

According to him, FGN securities are viable collateral that can be used to access loans from banks.

“They also help in the diversification of investment portfolios to reduce risk and achieve growth in value,” he said.

Supreme News reports that the awareness programme was inaugurated in Lagos in March 2022.

It had also been held in Enugu, Ibadan, Kano, Yola, Umuahia, Gombe, Osogbo, Port Harcourt, Benin, Uyo, Asaba, Maiduguri, Abeokuta, and Makurdi.