FG To Redeem $500m Eurobond

Debt Management Office (DMO) has announced Nigeria’s 6.75 per cent $500 million Eurobond which matured on January 28, 2021, will be redeemed.

“For this purpose, funds have been made available by the Federal Government of Nigeria to the fiscal agent to repay the principal sum of USD500 million and final Interest payment due on the Eurobond,” the debt office said in a statement that was posted on its website yesterday.

“By this development, Nigeria continues to demonstrate in practical terms, its commitment towards honouring all its debt service obligations as and when due,” the agency stated.

The 6.75 per cent N500 million January 2021 Eurobond which was issued in January 2011 was Nigeria’s first foray into the international capital market (ICM).

Government said issuance of the Eurobond enabled Nigeria to diversify its sources of funding as it successfully raised a total of $10,668.35 million from the ICM thereafter, making a total of USD11,168.35 million to finance the implementation of the federal budgets.

“This is in addition to contributing to Nigeria’s External Reserves. Equally important, a number of private sector operators, notably Nigerian banks, have raised US dollar funds from the ICM following Nigeria’s debut Eurobond in January 2011,” it added