Bond Yield Clears at 19.78% on Subdued Trading
The Nigerian government bonds experienced minimal activities at the secondary market ahead of 2025 primary market auctions worth more than N7 trillion. In 2025, the Debt Management Office is expected to raise local borrowing via bond issuance to investors’ to support government deficit budget.
Some analysts are projecting that the authority will frontload in the first and second quarter of the fiscal year to raise enough money for government spending.
On Monday, the bond market saw a mixed trading session, with tepid sell orders prevailing at the near and far segments, offsetting the impact of moderate bids at the belly of the curve, AIICO Capital Limited said in a note.
Offers that were submitted for Jan-26 (+2bps) and Jun-53 (+13bps) countered the effect of bids on Jul-34 (-5bps) maturity, the investment firm told investors in its market update.
Investment analysts at rustBanc Financial Group Limited revealed further that offers were mostly concentrated in the short-to-mid segments of the yield curve, specifically for bonds maturing in March 2025, February 2031, and February 2034.
Consequently, the average yield closed flat at 19.78%. Fixed-income market traders added that the volume of executed transactions remained limited. Analysts said they expect the quiet disposition in the bond market to persist. #Bond Yield Clears at 19.78% on Subdued Trading Goldman Sachs, IFC Partner African Banks to Empower Women Entrepreneur
