The Federal Government is set to raise about ₦700 billion from the domestic debt market in April 2026 through its Federal Government of Nigeria (FGN) bond programme, according to a new offer circular released by the Debt Management Office (DMO).
The auction, scheduled for April 27, 2026, with settlement expected on April 29, will involve the re-opening of previously issued bonds across three different maturities as part of the government’s ongoing domestic borrowing strategy.
Under the planned issuance, the government is offering ₦300 billion of the 17.945% FGN August 2030 bond, ₦100 billion of the 17.95% FGN June 2032 bond, and ₦300 billion of the 22.60% FGN January 2035 bond.
The bonds will be issued in standard units of ₦1,000, with a minimum subscription threshold set at ₦50.001 million, a structure that continues to favour institutional investors such as pension fund administrators, commercial banks, and asset management firms.
This latest borrowing plan reflects a continued downward adjustment in monthly bond issuance. The offer size has steadily declined over recent months, moving from ₦900 billion in January 2026, to ₦800 billion in February, ₦750 billion in March, and now ₦700 billion in April—representing a ₦50 billion reduction from the previous month.
Market analysts note that while the reduction in offer size signals a more calibrated borrowing approach, the distribution across maturities has also been adjusted. In particular, the seven-year segment has been significantly reduced compared to earlier auctions.
Despite the lower issuance volume, yields remain elevated, reflecting persistent high interest rate conditions in the domestic financial market. The five-year and seven-year bonds carry similar coupon rates of approximately 17.945% and 17.95% respectively, while the longer-dated 10-year instrument offers a substantially higher yield of 22.60%.
The structure of the April issuance continues to highlight investor appetite for higher returns on long-term government securities, even as the Federal Government manages its domestic debt exposure through controlled monthly borrowing.
