Friday, 16 October 2020
Nigeria plans to sell 30 billion naira worth of bonds next week as the government continues to source funds from the debt market for its spending programme.
The notes will be tradeable at both the Nigerian Stock Exchange and the Financial Market Dealers’ Association’s over-the-counter platform, the agency said.
Nigeria is relying on borrowing to finance a budget revenue gap of 5.4 trillion naira. These include both domestic debt issuance, eurobond sales and borrowing on concessionary terms from multilateral banks such as the African Development Bank and the World Bank, among others.
Nigeria’s fixed income market has been characterized by a low yield environment fostered by central bank policy moves aimed at encouraging lending to productive activities against saving.