DMO to raise N110bn on Wednesday

The Debt Management Office (DMO) is planning to raise N110 billion through the Federal Government (FGN) bonds on Wednesday.

The debt office said the weekend that it would sell N40 billion of a bond maturing in 2036, N30 billion maturing in 2026 and N40 billion of debt maturing in 2021, using the Dutch auction system.

The results of the auction are expected to be released the following day. All the bonds on offer are re-openings of previous issues.

Business247 News Online recalls that  DMO usually issues sovereign bonds monthly to support the local bond market, create a benchmark for corporate issuance and fund its budget deficit.

This year, it plans to borrow about N1.884 trillion to finance the N2.2 trillion deficits in this year’s budget. It is also seeking advisers and book runners to manage a planned $1 billion Eurobond sale this year.

It will be recall that its Director General, Dr. Abraham Nwankwo, recently disclosed that the amount to be borrowed to fund the budget deficit would be dedicated to capital projects. The sum is expected to be borrowed from both local and international investors.

Meanwhile, Central Bank of Nigeria (CBN) has refuted the allegation that it has stopped the licensing of International Money Transfer Operators (IMTOs).

Rather, the apex bank pledged its commitment to providing an enabling environment for international money transfer services in the country.

Its acting Director of Corporate Communications, Mr Isaac Okoroafor, explained on last Thursday that CBN has not foreclosed licensing of interested players in the IMTO space in Nigeria.