By Musa Ibrahim
The federal government plans to raise N700 billion from the domestic bond market in April 2026, according to the April Federal Government of Nigeria (FGN) Bond Offer Circular issued by the Debt Management Office (DMO).
The circular indicated that the bond auction is scheduled for April 27, with settlement on April 29. The issuance will be conducted through the re-opening of existing bond instruments across three maturities.
The offer comprises N300 billion of the 17.945 percent FGN August 2030 bond, N100 billion of the 17.95 percent FGN June 2032 bond, and N300 billion of the 22.60 percent FGN January 2035 bond.
The bonds will be issued in units of N1,000, with a minimum subscription of N50.001 million, targeting institutional investors including pension funds, banks, and asset managers.
According to the DMO, the instruments qualify as liquid assets for banks and are exempt from certain taxes under existing regulations.
The April offer represents a continued reduction in the government’s monthly borrowing size. The offer declined from N900 billion in January to N800 billion in February, N750 billion in March, and N700 billion in April.
In March, the government issued N750 billion across a five-year, seven-year, and 10-year bond structure. The April issuance reflects a revised distribution across maturities, with a reduced allocation to the seven-year instrument.
The coupon rates for the April bonds are 17.945 percent for the five-year instrument, 17.95 percent for the seven-year instrument, and 22.60 percent for the 10-year instrument. Final yields will be determined at the auction based on investor bids, including accrued interest.
Recent data from the DMO show that Nigeria’s total debt service rose to about N16 trillion in 2025, compared to N13.02 trillion in 2024.
