To Bridge Budget Deficit, FG Raised N2.44trn Via Bonds in 9 Months – THISDAYLIVE


Kayode Tokede

The federal government in nine months of 2022 raised a sum of N2.44 trillion through the FGN bond market to finance N6.26trillion 2022 budget deficit, the Debt Management Office (DMO) FGN Bond auction results in nine months of 2022 has revealed.

THISDAY analysis of the auction results revealed that investors oversubscribed N3.65trillion out of N1.86 trillion amount offered bond auctions between January and September 2022, representing an increase of 103 per cent bond offer subscription.

Amid oversubscription recorded by DMO in FGN bond market and other debt instruments sales such as Treasury Bills and Savings bonds, the debt office is on track to meet or exceed its domestic borrowing target of N3.53trillion for 2022.

Speaking with THISDAY on FGN bonds oversubscription, the Head Financial Institutions’ Ratings Agusto & Co, Mr. Ayokunle Olubunmi expressed that FGN bonds interest rate is higher compared to investing in the Treasury…

Source: Thisday Newspaper