The Debt Management Office on behalf of the Federal Government of Nigeria has announced an offer for subscription by auction of two re-opened Federal Government bonds totaling N300 billion as part of its domestic borrowing strategy.
The auction is scheduled for March 24, 2025, with a settlement date of March 26, 2025.
The bonds are intended to finance budget shortfalls and promote infrastructure development.
The two bonds available for subscription are: N200 billion – 19.30% FGN APR 2029 (5-Year Re-opening) N100 billion – 19.89% FGN MAY 2033 (9-year reopening).
Because these are re-openings of previously issued bonds, the coupon rates are fixed.
Investors will pay a market-determined price based on the yield-to-maturity bid that clears the auction volume, plus any accrued interest.
These low-risk bonds are charged against Nigeria’s general assets and are supported by the Federal Government of Nigeria’s full faith and credit.
The victorious bidders must pay by March 26, 2025, and the auction will take place on March 24, 2025.
Interested investors are advised to submit bids through authorized primary dealers, who act as intermediaries between the DMO and the investing public.
The issuance of these bonds is part of the Federal Government’s broader strategy to manage its debt profile while creating viable investment opportunities for domestic investors.
