In February, the federal government received N1.49 trillion from two FGN bond offerings issued by the Debt Management Office (DM0), falling short of the aim of N2.5 trillion.
The DMO stated in a statement that the bid of N1.9 trillion received was the highest in the nation’s history for a FGN securities auction.
Furthermore, it stated that the entire allotment for the 2031 bond was N873.53 billion, while that for the 2034 bond was N621.38 billion.
It went on to say, “In an unprecedented development, the Debt Management Office (DMO) raised N1.495 trillion Federal Government of Nigeria (FGN) bonds at its monthly auction for February 2024.”The DMO auctioned N1.25 trillion in 7-year and 10-year FGN bonds, with maturities in 2031 and 2034, respectively
.The DMO received total bids of N1.9 trillion for the sale, the greatest amount it has ever received in a FGN securities auction. At the end of the auction, a total of N873.53 billion was assigned for the FGN 2031 bonds and N621.38 billion for the 2034 FGN bonds, for a total allotment of N1.495 trillion.”
The DMO went on to explain that the high sum on offer was based on the federal government’s funding needs as well as an attempt to entice overseas investors.
