FG Plans N4trn Bond Auction Push Across November and December
Nigeria's Debt Management Office will conduct two bond auctions raising N2 trillion each in November and December to finance government borrowing needs.
The Federal Government is preparing a substantial domestic borrowing programme through the Debt Management Office, with plans to raise N4 trillion via bond auctions scheduled for mid-November and mid-December this year. The DMO has set November 16 and December 14 as the auction dates, targeting N2 trillion from each sale as the administration seeks to meet its financing requirements through the domestic debt market.
The November 16 auction will feature four different Federal Government bond instruments with varying maturity dates spanning from March 2028 through May 2033. According to the DMO's offer circular, the November issuance includes N700 billion in bonds maturing in March 2028 at 21.00 per cent, N250 billion due April 2029 at 19.30 per cent, and N750 billion maturing in August 2030 at 17.945 per cent.
A fourth bond instrument rounds out the November offering to reach the N2 trillion target. The December auction will follow with a similar structure, bringing the combined two-month borrowing total to N4 trillion.
Bond units will be offered at N1,000 per unit across the issuance programme. The DMO noted that the provisional calendar remains subject to adjustment based on market conditions and government financing priorities.
These auctions form part of the Federal Government's ongoing reliance on domestic debt instruments to finance its operations and capital projects. The bond market has become a critical funding avenue as the government manages its overall debt portfolio and borrowing strategy.
Investors participating in these auctions will lock in their funds at the specified interest rates across the different maturity periods.
