Q: What is an FGN Bond?
Warren Oluwasanya
Last Update 2 years ago
Federal Government of Nigeria (FGN) Bonds are long term debt instruments issued by the Debt Management Office (“DMO”) on behalf of the federal government of Nigeria. When an investor purchases an FGN bond, the investor is indirectly lending to government to finance its budget deficit. Interest is earned on the investment semi-annually or quarterly.