Nigerian government sells $ 2.5 billion Eurobonds

Revamp its economy by reducing the costs of using bank notes.

This is the ambition of the Nigerian government which sold $ 2.5 billion eurobonds on Thursday to buy back its debt in naira.

In practice, these are two separate types of securities that have been placed on the market.

The first was sold for USD 1.25 billion and is due to mature in 12 years with a yield of 7.14%.

The second, also worth $1.25 billion, will mature in 20 years. And its rate of return should be 7.7%, the finance minister announced on Twitter.

The deal appealed to investors, the Department of Finance said, as they were prepared to put up to $11.5 billion on the table.

Nigeria is engaged in a programme that should eventually lead it to sell all its foreign debt, the repayment of which in local currency is a structural burden on its budget.

Already last year, Abuja sold a record 4.8 billion Eurobonds in November, confirming Nigeria’s attractiveness on the financial markets.