The Debt Management Office (DMO) of Nigeria has announced that the settlement for N100 billion in bonds is set for Wednesday, June 25, 2025. This follows a successful auction that saw strong investor interest and significant oversubscription.
The auction, held on Monday, June 23, featured two bonds, each with a face value of N50 billion. According to the DMO, the bond issuance is part of the Federal Government’s borrowing strategy for 2025, aimed at financing the national budget and managing public debt sustainably through domestic sources.
The most popular bond was a newly issued 7-year bond with a coupon rate of 17.95 percent, maturing on June 25, 2032. The auction attracted considerable market interest, receiving 209 bids totaling N561.17 billion—over eleven times the amount offered. Ultimately, 41 bids were successful, with N98.95 billion allocated to investors, rounding up to approximately N100 billion.
The second bond offered was a re-opening of the 19.30 percent FGN APR 2029 bond (5-year tenor), which cleared at a marginal rate of 17.75 percent, slightly below its coupon rate. The DMO confirmed that the original 19.30 percent coupon will continue to apply for interest payments.
Both bonds are priced at N1,000 per unit, with a minimum subscription of N50,001,000 and additional purchases in multiples of N1,000. Interest on these instruments will be paid semi-annually, providing investors with a consistent income stream. The principal will be repaid in full at maturity through a bullet repayment structure, as stated by the DMO.
As of the first quarter of 2025, Nigeria’s debt profile stood at N101.9 trillion, with approximately 60 percent attributed to domestic debt. The DMO has consistently asserted that the country’s debt remains within sustainable limits, highlighting ongoing reforms and revenue mobilization efforts aimed at reducing fiscal deficits.
