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US Investors Dominate Nigeria’s $1billion Eurobond

Despite concerns over the security challenge in Nigeria, investors from the United States dominated the just concluded $1billion Eurobond offered by the federal government. Speaking … Continue reading US Investors Dominate Nigeria’s $1billion Eurobond


Despite concerns over the security challenge in Nigeria, investors from the United States dominated the just concluded $1billion Eurobond offered by the federal government.

Speaking at a high level policy dialogue organized by the African Development Bank in Abuja, Minister of Finance, Dr Ngozi Okonjo-Iweala explained that investors from the U.S. subscribed 72 per cent of the bond while the United Kingdom and Asia took the remaining 28 per cent.

Nigeria has been identified as one of the fastest growing economies with a gross domestic product growth rate of seven per cent, however, poor infrastructure has overshadowed this growth.

According to the Africa Development Bank, infrastructure deficit is at $350million. In order to improve the situation, the federal government floated a $1billion Eurobond to address key infrastructures.

Nigeria had issued a $500million 5-year bond at a yield of 5.375 per cent and a $500million dollar 10-year bond with a yield of 6.625 per cent.

The policy meeting is discussing how the government can sustain the economic growth for the benefit of Nigerians in line with federal government’s ambition to be among the top 20 economies in the year 2020.