DMO Targets N1.2trn From July FGN Bond Auction

The Debt Management Office (DMO) has said it plans to raise up to N1.2 trillion from the domestic debt market by reopening three Federal Government of Nigeria (FGN) bonds this month.

According to the Offer Circular issued on Tuesday, the Debt Office will be offering N400 billion on three bond instruments, bringing the total amount on offer to N1.2 trillion

Billed to hold on July 20, 2026, with successful subscriptions to be settled on July 22, 2026, the DMO said it plans to raise N400 billion through the 22.60 per cent FGN January 2035 Bond, a 10-year paper being reopened.

It also plans to raise N400 billion by reopening the 15.45 per cent FGN June 2038 Bond, a 15-year paper, and another N400 billion by reopening the 16.2499 per cent FGN April 2037 Bond, a 20-year paper.

The July offer comes barely a month after the DMO conducted a similar exercise in June 2026, when it reopened two FGN bonds to raise N1.2 trillion. Last month, the DMO raised a total of N1.22 trillion through the Federal Government of Nigeria (FGN) bond auction amid strong investor demand for long-dated government securities.

Results of the June auction showed that the debt office 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 amount on offer to N1.2 trillion.

In total, the auction had attracted subscriptions worth N1.41 trillion, as investors’ appetite for sovereign debt instruments remained high. A breakdown of the auction results showed that the 22.60 per cent FGN January 2035 bond, with a remaining tenor of eight years and seven months, recorded a total subscription of N705.22 billion from 179 bids.

Of the bids submitted, 135 were successful, and the DMO allotted N600.90 billion to investors. The bond attracted bids in the range of 16.00 per cent to 22.60 per cent, with the marginal rate settling at 18.34 per cent.

The July issuance is part of the Federal Government’s domestic borrowing programme aimed at financing budget implementation and managing public debt obligations through the local debt market.

The latest offer signals the Federal Government’s continued reliance on the domestic bond market to fund fiscal operations while providing investors with additional opportunities to invest in long-term sovereign securities.