The Federal Government is returning to the debt market this week to raise about N1.2 trillion through a bond auction. On the surface, it is another routine government borrowing exercise. But beneath the numbers is a signal that sophisticated investors are paying close attention to: Nigeria’s sovereign bonds are offering returns that may become difficult to find once the interest-rate cycle turns. The government is effectively offering investors a 10-year bond at a coupon rate of 22.60 percent annually. With headline inflation at 15.93 percen
The Federal Government is returning to the debt market this week to raise about N1.2 trillion through a bond auction. On the surface, it is another routine government borrowing exercise. But beneath the numbers is a signal that sophisticated investors are paying close attention to: Nigeria’s sovereign bonds are offering returns that may become difficult to find once the interest-rate cycle turns. The government
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