The Federal Government of Nigeria (FGN) and a few corporates raised over N3.4 trillion in eight months through the Nigerian Exchange (NGX).
According to the NGX’s latest official listing report for the eight-month period ended August 31, the listings comprised new and supplementary listings.
Through new and supplementary listings, FGN raised a total sum of N3.4 trillion while corporates raised a combined sum of N84.5 billion as of August 2025.
A new listing refers to a completely new bond issue being admitted to the Exchange for the first time, while under supplementary listing, the issuer raises more funds under an existing bond programme with the same ISIN, coupon, and maturity date.
Bond listings
The Federal Government of Nigeria (FGN) raised approximately N759.7 billion through the listing of 14 new Federal Government Bonds (FGNs) on the Nigerian Exchange (NGX) between February and August 2025, according to official market data reviewed by Nairametrics
The 14 new bond listings admitted to the NGX in the period under review amounted to a combined market capitalization of N759,706,224,000, based on the “Quantity Admitted” multiplied by the N1,000-unit price per bond.
The largest single admission came from the 22.60% FGN JAN 2035 bond, with N368.31 billion in units listed. Other significant listings included the 17.173% FGS MAY 2028 (N3.47 billion) and the 18.799% FGS FEB 2028 (N3.06 billion).
February 2025 saw the largest listing activity, accounting for over N369 billion in new bond admissions driven mainly by the FGN JAN 2035 issue, which alone represented nearly half (48%) of the total value raised in the period.
Coupon rates and market yields
The new issues carry coupon rates ranging from 15.762% to 22.60%, reflecting elevated domestic borrowing costs in the face of persistent inflationary pressures and tight liquidity in Nigeria’s fixed-income market.
The highest yield, 22.60%, was recorded on the FGN JAN 2035 issue, while the lowest coupon of 15.762% was attached to the FGS JUL 2028 and FGS JUL 2027 bonds.
This wide yield spread illustrates the current premium investors’ demand for longer-dated maturities and inflation-protected returns.
The listings span a range of maturities, from two-year savings bonds to ten-year longer-term instruments, primarily targeting retail and institutional investors alike.
Short- and medium-term offerings (2027–2028 maturities) dominated the listings, signaling sustained investor appetite for mid-tenor instruments, even as yields on longer-term securities remain high.
Supplementary bond listings
The FGN raised about N2.6 trillion through a series of supplementary bond listings on the Nigerian Exchange (NGX) between January and August 2025. NGX data obtained by Nairametrics reveal the listings cover multiple tranches of Federal Government of Nigeria (FGN) Bonds with coupon rates ranging between 18.50% and 19.89%, and maturities stretching from 2029 to 2033.
The listings, totaling 12 separate issuances, were admitted on the Exchange between January and August 2025, with aggregate value exceeding N2.59 trillion. The bonds were issued to raise funds for budget financing and to refinance maturing obligations as part of the government’s broader debt management strategy.
A breakdown of the data shows that the highest single tranche came on March 10, 2025, when the government listed N605.03 billion worth of bonds under the 18.50% FGN FEB 2031 series. Another major tranche of N449.77 billion was listed on May 15, 2025, under the 19.89% FGN MAY 2033 bond.
Other significant listings include N327.69 billion of the 19.89% FGN MAY 2033 bond on April 25, and N305.36 billion under the 19.30% FGN APR 2029 series listed in March.
Attractive yields, rising coupon rates
The bonds offer coupon rates ranging from 18.50% to 19.89%, representing some of the highest yields in recent years. Market analysts note that the elevated rates mirror efforts by the Debt Management Office (DMO) to balance the cost of borrowing with investor demand, amid inflationary pressures and tight monetary policy.
The bonds carry varying maturities, stretching from April 2029 to May 2033, with unit prices fixed at N1,000. This mix of medium- and long-term maturities is aimed at spreading refinancing obligations over time, thereby easing pressure on government cash flows in subsequent fiscal years.
Corporate Bonds
While Federal Government debt dominated the listings, corporate issuances added a significant N84.5 billion from three commercial papers:
Dangote Cement Plc – N38.20 billion, 10-year 23.50% Fixed Rate Senior Unsecured Bonds due 2034 (listed 20 March 2025).
Craneburg EKSG Motorway Company Plc – N32.50 billion, 20-year 22% Senior Guaranteed Fixed Rate Infrastructure Bonds due 2045 (listed 21 July 2025).
TSL SPV Plc – N5.00 billion, 21% Series 1 Senior Guaranteed Fixed Rate Infrastructure Bonds due 2035 (listed 25 June 2025).
Also, the NGX listed 87,900,000 units of Coronation Asset Management Limited’s Series 1 of Coronation Infrastructure Fund of N100 each, valued at N8.79 billion.
Strong investor appetite for Government Securities
Despite concerns over Nigeria’s rising debt profile, investor appetite for government-backed instruments remains strong. The high subscription levels recorded across multiple tranches suggest continued faith in the FGN’s creditworthiness and the relative safety of sovereign bonds. According to analysts, the listings are irresistible.
“Investors are locking into longer-dated bonds at double-digit yields, anticipating that rates may moderate once inflation stabilizes,” said Mr. Aruna Keriba, a senior stockbroker at NGX. “We’re seeing healthy bid coverage across maturities, particularly in the 7–10-year papers.”
He added that the listings provided liquidity and transparency in the fixed income market, providing investors with easily tradable instruments on the NGX.
What you should know
The listings are consistent with the DMO’s 2025 borrowing plan, which emphasizes the use of domestic instruments to fund fiscal gaps to reduce exchange rate exposure from external borrowing.
The federal government projected a N13.08 trillion budget deficit in 2025 and hopes largely to finance the deficit through domestic borrowing of N7.37 trillion. In the MTEF document, the FG stated, “The deficit will largely be financed by domestic borrowings, considering the narrow window for external financing.”
