Soothing news came the way of the Debt Management Office (DMO) as it revealed that the FGN bond auction for April 2020 held last Wednesday was oversubscribed.
The DMO, in a statement released Thursday said it offered N60 billion bonds across three tenors to investors at the auction – N20 billion each for the five-Year, 15-year and 30-year tenors. The total subscriptions received through competitive bids for the three instruments was N275.67 billion, indicating an overall subscription level of 459 per cent.
According to DMO, demand was very strong for all the instruments offered at the auction. A breakdown of the subscriptions shows that the sum of N49.70 billion or 248.50 per cent was received for the five-year bond; N107.47 billion or 537.35 per cent for the 15-year bond and N118.50 billion or 592.25 per cent for the 30-year bond.
Successful bids were allotted at the rate of nine per cent for the five-year, 12 per cent for the 15-year and 12.5 per cent for the 30-year bond, all of which are lower than the rates at the March 2020 FGN bond auction.
THE SUN
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