Again, the federal government is turning to investors for money to be paid back over a longer period.

The government has announced that it plans to borrow between 360 billion naira and 450 billion naira in sovereign bonds.

It has made provision for part of the bond to mature in 5 years in the intermediate term while others will mature in about 10-20 years.

The bond issue is expected to happen between July and September 2017.

This is according to the Debt Management Office which announced this plan on Wednesday.

This is one of the long-term debt instruments the Nigerian government would be issuing as it aims to plug a budget deficit of more than 2.3 trillion naira.

The debt office explained that it would auction 90-120 billion naira in the five-year note and 135-165 billion in the 10-year and 20-year debt between over the next 90 days.

Nigeria issues bonds each month to help fund its budget deficit, support the local debt market and maintain a benchmark for private companies to follow.