Nigeria set higher yields on its bonds maturing in September 2036 and June 2038 at the 19 October auction, according to results published on Tuesday, 20 October, by the Debt Management Office (DMO), the agency responsible for managing federal debt.
The marginal rate on the September 2036 bond reached 17.29%, compared with 16.79% at the 14 September auction, a rise of 0.50 percentage point. That on the bond redeemable in June 2038 rose from 16.85% to 17.19%, up 0.34 percentage point.
The DMO allotted a total of NGN 2,024.17 billion in face value of bonds. This amount comprises NGN 1,224.17 billion allocated through competitive auctions and NGN 800 billion of non-competitive allotments, split equally between the February 2034 and September 2036 bonds.
Competitive allotments alone rose by 63.5% compared with the NGN 748.64 billion in September. Subscriptions in this segment totalled NGN 1,747.75 billion, against NGN 1,750 billion offered across the three lines.
The third line, maturing in February 2034, was allotted at a marginal rate of 16.99%. Settlement of the operation is scheduled for 21 October. The DMO notes that the three lines are reopenings of existing bonds whose original coupons remain unchanged.