DMO Offers N250bn Sukuk For Subscription

The Debt Management Office (DMO) has offered for subscription N250 billion road Sukuk instrument for N1,000 per unit.

In a statement, DMO indicates that the instrument was issued by “FGN Roads Sukuk Companies 1 Plc.” on behalf of the Federal Government.

The offer is N1,000 per unit subject to a minimum subscription of N10,000 and in multiples of N1,000 thereafter.

“It qualifies as securities in which trustees can invest under the Trustee Investment Act.

“It also qualifies as Government securities within the meaning of Company Income Tax Act (CITA) and Personal Income Tax Act (PITA) for Tax Exemption for Pension Funds, among other investors,” the DMO explained.

The DMO explained that proceeds would be used solely for the construction and rehabilitation of key road projects across the six geopolitical zones of the country.

It announced the due date as December 2031, and the Rental Rate of 12.8 per cent per annum.