The Federal Government of Nigeria (FGN) has announced the offer of ₦80 billion in FGN bonds for subscription via auction, slated for July 28, 2025, with settlement expected on July 30, 2025.
The announcement was made by the Debt Management Office (DMO) in a circular posted on Wednesday.
According to the DMO, the bond issuance was carried out in compliance with the Debt Management Office (Establishment) Act, 2003, and the Local Loans (Registered Stock and Securities) Act, CAP. L17, Laws of the Federation of Nigeria 2004.
The offer comprises two re-openings of previously issued FGN bonds: ₦20 billion is being offered for the 19.30% FGN APR 2029 bond, which has a five-year tenor, while ₦60 billion is allocated to the 17.95% FGN June 2032 bond, with a maturity period of seven years.
Each bond unit is priced at ₦1,000, with a minimum subscription of ₦5,000 and additional investments in multiples of ₦1,000, allowing investors to subscribe for up to ₦50 million.
The interest rate for the bonds will be determined based on the yield-to-maturity bid that clears the total volume offered at auction, as these are re-openings of previously issued bonds. Interest payments will be made semi-annually, while the principal will be repaid in full through a bullet repayment at the bond’s maturity date.
The July 2025 bond auction is less than the ₦100 billion offered in June.
The first instrument offered was a five-year reopening bond with a coupon rate of 19.30%, set to mature on April 17, 2029. The bond attracted 30 bids totalling ₦41.685 billion in subscriptions, signalling strong investor demand.
However, only two bids were successful, with a final allotment of ₦1.050 billion.
The second instrument, a newly issued seven-year bond carrying a 17.95% coupon rate and maturing on June 25, 2032, garnered 209 bids, with subscriptions amounting to ₦561.170 billion.
Out of these, 41 bids were accepted, and ₦98.950 billion was allotted.
