FG Issues N136bn in Medium-term Bonds

The Federal Government of Nigeria has successfully allotted a total of N136bn in its recently concluded five- and seven-year bond auctions, with marginal rates of 17.945 per cent and 18 per cent, respectively.

According to the offer document on its website on Tuesday, the new five-year FGN August 2030 bond and the seven-year FGN June 2032 bond were auctioned on August 25, 2025, and are set to settle on August 27, 2025. The total amount offered for each bond was N100 bn, but strong investor demand led to an allotment of N46.005 bn for the five-year bond and N90.157 bn for the seven-year bond.

The auction saw total bids of N102.355bn for the August 2030 bond and N165.807bn for the June 2032 bond, reflecting robust investor interest. The original coupon rate of 17.95 per cent for the June 2032 bond will be maintained.

According to the Debt Management Office, the range of bids for the five-year bond was between 12.5 per cent and 21.5 per cent, while bids for the seven-year bond ranged from 15 per cent to 22 per cent. Successful bids were allotted at marginal rates of 17.945 per cent and 18 per cent, respectively.

The medium-term bonds form part of the government’s ongoing strategy to raise capital for financing key projects and managing the country’s debt portfolio, while providing investors with attractive risk-adjusted returns in Nigeria’s fixed-income market.