Nigeria sold 70 billion naira ($457,9 million) in 20-year, 5-year and 3-year sovereign bonds at its last debt auction of the year, the Debt Management Office said on Thursday.
The debt office sold 25 billion naira in the 20-year, 20 billion naira in the 5-year and 25 billion naira in the 3-year instruments at Thursday’s auction. All the instruments were reopenings of previously issued bonds.
The marginal rate on the 3-year bonds rose to 12% from 11,50% last month, that of the 5-year paper was issued at 12%, while the 20-year bond rate fell to 14,50% from 15,50%.
“However, the original coupon rates of 5,50%, 4.00% and 15,00% for the 3-year, 5-year and 20-year respectively will be maintained,” the debt office said.
The total subscription was 141,54 billion naira compared with 126,94 billion naira in the previous month.
Bond dealers said the appetite for the bonds was fuelled by the recent release of budgetary allocations to the three tiers of government, which raised liquidity in sub-Saharan Africa’s second-biggest economy.