Nigeria to Issue N729bn Bond for GenCo Debt Settlement

The Nigerian government is set to issue a N729 billion bond aimed at settling verified debts owed to electricity generation companies (GenCos). This announcement was made by the Nigerian Bulk Electricity Trade Plc and follows the successful release of a N501 billion bond in January 2026, which was approved by President Bola Tinubu.

The issuance of the new bond will precede an investor forum scheduled for Tuesday, July 21, 2026, and is part of the first phase of the presidential power sector debt reduction program, bringing the total value of the first two bond issuances to N1.23 trillion. The first coupon principal repayment for the Series 1 bond is due on July 14, 2026.

The two issuances represent components of a multi-instrument issuance program aimed at addressing long-standing financial obligations in Nigeria's electricity sector. Johnson Akinnawo, the Chief Executive Officer of Nigerian Bulk Electricity Trade Plc, emphasized that this second issuance demonstrates the federal government's commitment to resolving verified legacy obligations and improving liquidity across the electricity supply industry.