Federal Govt Raises N1.22trn from June Bond Auction Amid Oversubscription

The federal government of Nigeria has raised a total of N1.22 trillion from its June bond auction, following strong investor participation that drove demand above the amount offered.

The Debt Management Office (DMO) disclosed on Monday, June 22, 2026, that the auction was significantly oversubscribed, reflecting sustained appetite for Federal Government of Nigeria (FGN) securities despite prevailing market conditions.

At the auction, the DMO offered N600 billion each in two reopened instruments—the 22.60 per cent FGN January 2035 bond and the 16.2499 per cent FGN April 2037 bond—bringing the total offer size to N1.2 trillion.

Investor demand, however, exceeded expectations, with total subscriptions reaching N1.413 trillion, representing an oversubscription of about N213.49 billion.

For the 22.60 per cent FGN January 2035 bond, which has a remaining tenor of eight years and seven months, the DMO received subscriptions worth N705.22 billion from 179 bids. Of these, 135 bids were successful, with a total allotment of N600.90 billion. The bond cleared at a marginal rate of 18.34 per cent, with bids ranging between 16.00 per cent and 22.60 per cent.

Similarly, the 16.2499 per cent FGN April 2037 bond attracted subscriptions of N708.27 billion from 215 bids. A total of 181 bids were successful, with N621 billion allotted. The marginal rate for the instrument settled at 18.35 per cent, with bids ranging between 16.00 per cent and 21.75 per cent.

In total, the DMO allotted N1.2219 trillion across both instruments, slightly above the initial offer size, underscoring strong investor confidence in sovereign debt instruments.

The agency also confirmed that the original coupon rates of 22.60 per cent for the January 2035 bond and 16.2499 per cent for the April 2037 bond will be maintained.