FG To Auction 150 Billion Naira Bond 4 Days After February 16
If you have some investible funds you can spare for a medium to long term, this might your perfect opportunity to reap impressive returns.
The federal government, through the Debt Management Office, DMO has announced that the Federal Government would auction 150 billion naira worth of bonds by subscription on February 20.
A circular by the DMO on Wednesday, showed the breakdown of the figure to include a 50-billion-naira five-year reopening bond that would mature in April 2023 and be offered at 12.75% and another 50 billion naira seven-year reopening bond to mature in March 2025 and be auctioned at 13.53%.
The final one was another 50 billion naira 10-year bond that would mature in February 2028 and be auctioned at 13.98%.
According to the DMO, the bonds to be auctioned have a settlement date of February 22.
The DMO had earlier auctioned a 150-billion-naira bond on January 30 with a settlement date of February 1.
The circular said the DMO, on behalf of the Federal Government, was offering the amounts for subscription by auction and was authorised to receive applications for them.
“For re-opening of previously issued bonds, (where the coupon is already set), successful bidders will pay a price corresponding to the yield-to-maturity bid that clears the volume being auctioned, plus any accrued interest on the instrument,” the DMO said on the interest rate.
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