As the federal government continues to borrow from domestic investors to bridge the 2025 budget deficit, its exposure to the FGN Savings Bond grew by 6.27 per cent year-on-year (YoY) to N36.23 billion in the first nine months of 2025, compared to N34.09 billion recorded in the same period of 2024.
An analysis of trading numbers by THISDAY revealed that the FGN Savings Bond auction during the period witnessed a sharp increase in investor patronage.
The Debt Management Office (DMO) introduced the FGN Savings Bond in 2017 to attract retail investors by guaranteeing interest payments and full repayment of principal. The initiative was designed to deepen Nigeria’s savings culture, diversify government funding sources, and is issued monthly with two- and three-year tenors.
For 2025, the federal government projects to borrow approximately N13 trillion through bonds to finance its budget deficit. A significant portion of this borrowing is expected to be raised in the first half of the year, through a mix of new issuances and re-opened bonds.
