DMO announces results of January 2025 FGN bond auction, raises N669.94 billion
The Debt Management Office (DMO) of Nigeria announced the successful completion of its January 2025 Federal Government Bond Auction, raising a total of N669.94 billion. This figure includes N606.46 billion allotted across three bond tenors, marking a key step in the government’s ongoing efforts to finance infrastructure projects and address fiscal needs.
The auction included three bonds: the 19.30% FGN April 2029 bond, the 18.50% FGN February 2031 bond, and the 22.60% FGN January 2035 bond. Strong investor participation was evident, with the 2035 bond receiving the highest allotment of N368.31 billion, reflecting the government’s focus on securing long-term financing for critical projects.
Investor confidence was reflected in the competitive yields achieved during the auction, with the FGN APR 2029 bond offering a yield of 21.79%, the FGN FEB 2031 bond yielding 22.50%, and the FGN JAN 2035 bond providing a yield of 22.60%. These yields were aligned with current market conditions and provided attractive returns for investors.
The proceeds from the auction will support the Nigerian government’s financing of critical infrastructure, health, and education projects. It will also help manage fiscal deficits while offering stable, tax-free investment opportunities for both institutional and retail investors.
The DMO has indicated that further bond auctions are planned throughout the year to meet the government’s borrowing needs as outlined in the 2025 budget. Investors are encouraged to monitor upcoming offers for favorable yields and investment opportunities.
Source: Nariametrics