Nigeria plans to raise between 210 billion and 290 billion naira ($1.33 billion – $1.84 billion) in sovereign bonds ranging between 3 and 10 years in the second quarter of the year, the Debt Management Office (DMO) said, more than its first quarter debt issuance.
The debt office said late on Tuesday it would auction between 15-25 billion naira in 3-year paper in April, 30-40 billion naira worth in 5-year and 10-year bonds each in the same month.
In May, the debt office plans to issue between 30-40 billion naira worth in 5-year and 10-year bonds, respectively, while in June it would raise between 25-35 billion in 5-year, 7-year and 10-year paper, respectively.
Nigeria, Africa’s second biggest economy, said all were re-openings of those previously issued, except for the issue of 25-35 billion naira in 7-year paper in June.
Africa’s biggest crude exporter issues sovereign bonds monthly to support the local bond market, create a benchmark for corporate issuance and fund its budget deficit.
Nigeria’s secondary bond market remained subdued in the last two weeks as bond holders waited for the release of the second quarter auction calendar.
Dealers expect it will serve as a stimulus to boost activity in the secondary market in the coming days