Eurobond Transaction Advisers’ appointment requires FEC and NASS approval – DMO

The Debt Management Office (DMO) has clarified that the appointment of Transaction Advisers for the issuance of Eurobond is contingent upon the approval of the Federal Executive Council (FEC).

Speaking during an interview with the News Agency of Nigeria (NAN) on Saturday in Abuja, the Director-General of the DMO, Patience Oniha, addressed concerns raised in media reports regarding the appointment of a company linked to the Minister of Finance, Wale Edun, as one of the Transaction Advisers for a potential one billion dollar Eurobond.

Oniha emphasized that the approval of the National Assembly (NASS) is also a prerequisite for such appointments.

She explained that the selection of Transaction Advisers by the DMO adheres to the provisions of the Public Procurement Act, 2007, and is subject to FEC approval.

Contrary to recent news reports, Oniha stated that the DMO has not yet received approval from FEC or NASS for the issuance of Eurobond.

She emphasizes that the process for the issuance of Eurobonds by the Federal Government of Nigeria in the international capital market must follow the guidelines outlined in the Fiscal Responsibility Act, 2007, and the Debt Management Office (Establishment, Etc.) Act, 2003.

Oniha urged the public to rely on official statements from the DMO for accurate updates on Nigeria’s debt management activities.

Initial reports stated that Chapel Hill Denham, the company in question, was previously appointed as one of the five issuing houses in 2021 during the former President Muhammadu Buhari-led government to serve as Transaction Advisers for Nigeria’s Eurobonds.

Other appointed companies included Citigroup Inc., JPMorgan Chase & Co., Goldman Sachs Group Inc., and Standard Chartered Bank.

With the assistance of these Transaction Advisers, Nigeria successfully issued a total of 5.25 billion dollars’ worth of Eurobonds in 2021.

Economy: Subsidy beneficiaries, smugglers fighting back, says Tinubu

President Bola Tinubu has alleged that smugglers and beneficiaries of the old petrol subsidy were beginning to fight back, but vowed that his administration would not abuse the trust Nigerians reposed in him.

Tinubu, during a meeting on Friday with the Forum of State Chairmen of the All Progressives Congress (APC) at the State House in Abuja, said that Nigeria would prevail against the agents of destabilization allegedly working to sabotage efforts at repositioning the economy.