The Federal Government has projected that Nigeria’s JPMorgan relisting could attract about $17.5bn into the country’s debt market while reducing borrowing costs by as much as 200 basis points. Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed this in Abuja during the signing ceremony for the N728.979bn Series II bond under the N4tn Power Sector Multi-Instrument Issuance Programme.
Nigeria’s return follows its inclusion in JPMorgan’s newly introduced Government Bond Index-Emerging Markets Edge, with Nigerian government bonds assigned a 7.4 per cent weighting. According to JPMorgan’s September 14, 2026 Global Index Research report, about $17.47bn worth of eligible Nigerian government bonds across 16 instruments are represented in the index. The allocation is close to the index’s eight per cent maximum country weighting, potentially giving Nigerian bonds greater visibility among international fixed-income investors.
Oyedele described the development as a major boost for Nigeria’s debt market, noting that the country is returning to the index after an 11-year absence. He said the expected inflow could push yields lower by up to 200 basis points, potentially making future government borrowing cheaper. The minister also said investors who participated in the latest bond issuance could benefit if improved market demand translates into lower rates on subsequent transactions.
The announcement came alongside the Federal Government’s efforts to tackle longstanding financial obligations in Nigeria’s electricity sector. The N728.979bn Series II transaction consists of N402bn in cash bonds raised from the capital market and N326.979bn in non-cash bonds allocated to participating electricity generation companies under the Presidential Power Sector Debt Reduction Programme. The issuance forms part of the N4tn programme established to address legitimate legacy debts and improve liquidity across the power sector.
However, Oyedele stressed that settling the debts would not be enough to permanently fix Nigeria’s electricity market. He said the government must also strengthen revenue collection, reduce technical and commercial losses, improve efficiency and enforce greater accountability across the value chain. The Federal Government launched the first phase of the power sector bond programme in December 2025, with the N501bn issuance completed in January 2026. The latest development combines efforts to strengthen the debt market with reforms aimed at creating a more financially sustainable electricity sector capable of attracting investment and supporting economic growth.
source: punch
