The Debt Management Office (DMO), says the Federal Government of Nigeria (FGN) Savings Bond has received a total subscription of N45.135 billion between its inception in 2017 and 2022.

The Director-General of the DMO, Patience Oniha said this on Tuesday in Lagos, at the unveiling and demonstration of Securities subscription portal at a stakeholders meeting.

Oniha said that the FGN savings bond, which was specifically designed to encourage retail investors had done well across the six geo-political zones of the country, going by the numbers.

According to her, FGN Savings Bond is a product that the DMO introduced in March 2017 to enable retail investors participate in the FGN securities market and promote financial inclusion.

She said that the stakeholders meeting was arranged to review the performance of the FGN Savings Bond and to present the portal.

She said that the DMO worked with the Central Securities Clearing System (CSCS) to develop the portal.

“This explains why the Primary Dealers Market Makers, Central Bank of Nigeria, Securities and Exchange Commission, Nigeria Exchange Limited and stockbroking firms have been invited.

“The DMO believes that the product has more potential than what has been achieved so far, and has for now, identified two ways to achieve much higher volumes and numbers of investors,” she said.

According to the director-general, in 2022 the DMO embarked on investor sensitisation programmes across a number of cities in Nigeria.

“This strategy proved successful as total subscription almost doubled from N8.396 billion in 2021 to N16.589 billion in 2022.

“Given this outcome, the DMO plans more of such sensitisation, as well as wider publicity.

“The other strategy is to deploy technology to the process to make the subscription fast, easy and overall, more convenient,” she said.

She said that the portal had been tested with distribution agents for the FGN Savings Bond, adding that the presentation was to expose it to a wider group of stakeholders.

In a paper presentation, Bose Olafisoye from the DMO, said that the FGN Savings Bond was introduced as part of market development initiatives of the office.

According to Olafisoye, there is a higher and increasing investor appetite for the three-year FGN Savings Bond relative to the two-year bond, based on level of subscription.

“This could be due to the 100 basis points difference in the coupons and investors preference for longer maturities,” she said.

She said that there was the need to build on gains recorded over the years in the efforts to develop the retail segment of the bond market.

The News Agency of Nigeria (NAN) reports that the highlight of the event was a demonstration of the portal to the delight of the stakeholders.

 (NAN)(www.nannews.ng)