Bonds: Fg to Sell N100bn on March 27

• Bonds: Fg to Sell N100bn on March 27

The Federal Government has concluded its plan to auction by subscription N100 billion worth of bonds on March 27, according to the Debt Management Office (DMO).

The debt management office said in a note published on its website on Tuesday that the 5-year re-opening bonds of N40 billion would be offered at 12.75 per cent.

While the 7-year bonds, also re-opening, of N20 billion which would be due in March 2025, would be auctioned at 13.98 per cent.

The 10-year re-opening bonds of N20 billion which would be matured in February 2028, would be offered at 13.98 per cent.

According to the DMO, units of sale is N1,000 per unit, subject to a minimum subscription of N50 million and in multiples of N1,000 thereafter.

The DMO explained that the bonds are backed by the full faith and credit of the Nigerian Government, with interest payable semi-annually to bondholders, while bullet repayment will be made on maturity date.

Nigeria issues sovereign bonds monthly to support the local bond market, create a benchmark for corporate issuance and fund its budget deficit.