DMO Raises N748.64bn From September FGN Bond Auction

The Debt Management Office (DMO) has raised N748.64 billion from its September 2026 Federal Government of Nigeria (FGN) bond auction, as total subscriptions declined by 13.5 per cent compared to the previous month.

According to the latest auction results released by the DMO on Tuesday, investors submitted bids worth N1.49 trillion for the two instruments offered at the September auction, compared with N1.73 trillion recorded across three instruments in August.

The amount allotted to investors also fell by seven per cent from the N805.16 billion allotted in August. The September auction featured a new 16.79 per cent FGN September 2036 bond and a reopening of the 15.45 per cent FGN June 2038 bond.

For the new 10-year bond, investors submitted N546.90 billion in bids against the N400 billion offered by the DMO. The agency eventually allotted N288.63 billion to investors, with the marginal rate settling at 16.79 per cent.

The reopened June 2038 bond attracted stronger demand, with subscriptions reaching N947.83 billion against an offer of N600 billion. The DMO allotted N460.01 billion to investors at a marginal rate of 16.85 per cent.

At the end of the September auction, there was sharp decline in the marginal rate on the June 2038 bond. The rate fell to 16.85 per cent from 17.79 per cent at the August auction, representing a 94 basis point decline.

The August auction had featured three instruments, comprising the 22.60 per cent FGN January 2035 bond, the 16.2499 per cent FGN April 2037 bond and the 15.45 per cent FGN June 2038 bond. Their marginal rates were 17.15 per cent, 17.19 per cent and 17.79 per cent respectively.

The September auction attracted 441 bids across the two instruments, of which 204 were successful. The DMO also indicated a further N850 billion in non competitive allotments, in addition to the N748.64 billion allotted through the competitive auction.