The Federal Government of Nigerian on Wednesday announced the issuance of $2.86 billion aggregate triple bond series under its Global Medium Term Note Programme.
This was contained in a press statement by the Ministry of Finance on Wednesday night which explained that the Notes comprise a $1.18 billion seven-year series, $1billion 12-year series and $750 million 30-year series.
Details of the issue show the seven-year series would bear interest at a rate of 7.625 per cent, while the 12-year series would bear interest at a rate of 8.75 per cent, and the 30-year series would bear interest at a rate of 9.25 per cent.
The offering attracted significant interest from leading global institutional investors with a peak combined order book of over $9.5 billion.
The Minister of Finance, Zainab Ahmed, said the successful transaction follows closely behind Nigeria’s successful engagement with the Fitch rating agency, and their subsequent decision to change the outlook on Nigeria’s sovereign rating from B+ (negative) to B+ (stable), based on improving macro-economic fundamentals.
She said despite significant oil and wider macro market volatility, Nigeria has successfully raised its external debt requirements for the 2018 budget at a cost considerably lower than many of its peers across Sub-Saharan frica.