Invest & Save · 🇳🇬 Nigeria
How to start investing in Nigeria
In Nigeria, high inflation means money left in a current account loses value fast. Savers use money market funds, FGN Savings Bonds from ₦5,000 and their pension account. Always check that a fund manager is registered with the SEC before sending money.
Your options, from safest to riskiest
| Option | What it is | Returns | Getting your money | Tax | Risk |
|---|---|---|---|---|---|
| Money market funds | SEC-registered mutual funds that hold Treasury bills and bank deposits. They held ₦6.7 trillion, 68% of all mutual fund money, on 9 October 2026. | Yields move with Treasury bill rates; compare funds' published yields and fees.Nairametrics: Nigeria's mutual fund assets near ₦10 trillion (20 Oct 2026) | Usually within a few working days | Check the fund's fact sheet for tax on its income | Low |
| FGN Savings Bonds | Government bonds for individuals, sold monthly through DMO-appointed stockbrokers and listed on the NGX. From ₦5,000 up to ₦50 million. | October 2026 offer: 13.071% a year for 2 years and 14.071% for 3 years, paid every quarter.Nairametrics: FGN Savings Bond rates, October 2026 offer | Hold to maturity, or sell on the NGX | Treated as government securities under tax law | Very low |
| Shares and ETFs on the NGX | Part-ownership of companies like Dangote Cement or MTN Nigeria, bought through a licensed stockbroker. | Dividends plus price changes, which can be large in both directions. | Sell on any trading day | Dividend withholding tax applies | High |
| Retirement savings account (RSA) | Your pension account with a licensed Pension Fund Administrator (PFA). Employers with 15 or more staff must contribute. | Depends on the fund the PFA manages for your age group.PwC Tax Summaries: Nigeria, other taxes (pension) | Mostly locked until retirement | At least 18% of pay goes in (10% employer, 8% employee); employee contributions are tax-deductible | Low |
| Micro Pension Plan | The PenCom plan for the self-employed and people in very small firms. No set minimum; pay daily, weekly or monthly. | Depends on the PFA's fund.PenCom: Micro Pension Plan FAQ | Contingent part withdrawable three months after the first contribution, then weekly; retirement part from age 50 | Contributions to approved schemes are deductible | Low |
Rates and limits change. Check the provider's latest fact sheet or offer before you invest.
Tax breaks and retirement in Nigeria
Contributory pension
Under the Pension Reform Act 2014, at least 18% of monthly pay goes into your RSA: 10% from the employer and 8% from you. Employee contributions are tax-deductible.
Source: PwC Tax Summaries: Nigeria, other taxes (pension)Micro Pension Plan
Self-employed Nigerians aged 18 or older can open an RSA with any licensed PFA. Part of each contribution can be withdrawn for emergencies after three months; the rest is paid as a pension from age 50.
Source: PenCom: Micro Pension Plan FAQHow to start, step by step
- Keep an emergency fund in an SEC-registered money market fund, not in a current account.
- Check that your employer pays into your RSA, or open a Micro Pension Plan with a licensed PFA if you are self-employed.
- Buy FGN Savings Bonds from ₦5,000 through a DMO-appointed stockbroker for safe, fixed income.
- Add NGX shares or an ETF only for money you can leave for five years or more.
- Never send money to an 'investment club' or app that promises fixed high returns and is not on the SEC register.
Check before you send money
Every fund manager, pension provider and broker should be on an official register. If it is not, do not invest.
- SEC Nigeria: registered capital market operators
- PenCom: licensed Pension Fund Administrators
- DMO: FGN Savings Bonds
- Scam Watch: names named in regulator warnings.
Savings calculator
- You would have
- NGN 436,760
- You paid in
- NGN 250,000
- Growth from returns
- NGN 186,760
- In today's money
- NGN 268,133
Returns are not guaranteed and change every year. Use a return you can justify, for example a recent money market yield for savings, and a lower figure than past share returns for long-term goals. Fees and tax reduce what you keep.
Questions about investing in Nigeria
What is the minimum for FGN Savings Bonds?
₦5,000, in units of ₦1,000, up to ₦50 million per subscription, according to the October 2026 offer.
Can I withdraw from my pension before retirement in Nigeria?
Mostly no. Micro Pension Plan members can withdraw the contingent part three months after the first contribution. Other early access rules depend on PenCom regulations.
How do I know an investment platform is legit in Nigeria?
Search the company on the SEC Nigeria website and in our Scam Watch. A licensed fund manager never guarantees a fixed high return.
This guide explains options; it is not personal financial advice. Sources: Nairametrics: Nigeria's mutual fund assets near ₦10 trillion (20 Oct 2026) · Nairametrics: FGN Savings Bond rates, October 2026 offer · PwC Tax Summaries: Nigeria, other taxes (pension) · PenCom: Micro Pension Plan FAQ.
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