DMO Plans N4 Trillion Bond Auctions for Q3 2026

The Debt Management Office (DMO) of Nigeria has unveiled a plan to raise N4 trillion through federal government bond auctions in the third quarter of 2026. This initiative underscores the federal government's continued reliance on the domestic debt market to finance its widening fiscal deficit and refinance maturing obligations.

The bond issuance calendar for the third quarter was released on Monday, with auctions scheduled for July 20, August 17, and September 14, 2026. The July 20 auction will include three bonds: a 22.60% FGN bond maturing in January 2035, a 16.2499% FGN bond maturing in April 2037, and a 15.45% FGN bond maturing in June 2038.

The DMO expects to raise approximately N4 trillion during this quarter, reinforcing its monthly issuance strategy. Financial analysts believe that the reopening strategy is designed to improve liquidity and enhance price discovery for existing benchmark securities, attracting institutional investors.

Kayod Ajala, CEO of Capital Securities Limited, described the borrowing program as aggressive, reflecting the government's sustained dependence on the domestic debt market.