Nigeria Raises $900m from Domestic US Dollar Bond
The Nigerian government raised $900 million from the local US dollar domestic bond offered to retail investors.
The Debt Management Office had launched a $500 million domestic US dollar bond with intentions to finance critical infrastructure and boost FX liquidity in the country.
The post bonds sales results showed that the investment assets was strongly over subscribed.
Total bids cross $900 million, significantly above $500 million at the rate of 9.75,% offered at the market.
Debt office explained that the domestic US dollar bond is targeted at retail investors, local and international.
Analysts said about 10% interest rate is attractive enough to make the investment managers pile enough cash into the 5 years tenor instrument.
The issue closed with a 180% oversubscription, underscoring strong domestic investor confidence in Nigeria’s economic stability and growth potential, according to Africa Finance Corp.
It was gathered that Nigerians and non-Nigerians resident in Nigeria, Nigerians in the Diaspora, and institutional investors were key subscribers to the inaugural domestic US dollar bond offered.
The bond is expected to be listed on Nigerian debt capital market platforms. #Nigeria Raises $900m from Domestic US Dollar Bond
AFC Leads Nigeria’s Inaugural Domestic Dollar Bond, Raising over US$ 900 million
