Fidelity bank banner Bayelsa State banner
Investors shun Nigeria’s bond

By News Express on 24/08/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 813


Nigeria raised 56.05 billion naira ($179 million) in a bond auction on Wednesday, less than half the amount on offer as domestic pension funds and insurance firms cut orders due to low yields, traders said on Thursday.

The Debt Management Office (DMO) offered 135 billion naira worth of bonds maturing in 2021, 2027 and 2037, but investors shunned the auction to take positions in the relative liquid secondary market.

The DMO paid 16.80 percent for the 2021 and 2027 bonds and 16.90 percent for the 2037 debt. Investors demanded yields as high as 17 percent, auction results showed, to help boost returns further above inflation, which was 16.1 percent in June.

“Pension funds and insurance firms cut back their demand ... because of expectations of higher yields,” one dealer said, adding that those two sectors, which dominate the local bond market, subscribed for just 63.65 billion naira.

Nigeria, Africa’s biggest economy, is planning for a budget deficit of 2.36 trillion naira this year as it tries to spend its way out of recession. It expects to raise funds from the local market to cover more than half the deficit.

The DMO issues bonds every month.

At Wednesday’s auction, the debt office sold 9.18 billion naira worth maturing in five years, 17.51 billion maturing in 10 years and 29.36 billion maturing in 20 years.

•Text courtesy of Reuters.

 

Source News Express

Posted 24/08/2017 8:24:34 PM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

REVEALED: 3 natural ways to get stronger erections, last 25 minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

 

You may also like...
Kukah condemns commercialisation of churches

Anambra 2017: Chidoka calls on Buhari to lift...

Dangote Cement splashes N62 million on best distributor,...

Family alleges foul play in death, cremation of...

Forex: Dealers fail to subscribe fully to CBN’s...

Breaking: Jonathan sacks Gulak

Kaduna Govt. releases White Paper on Shi’ite/Army clashes...

Breaking: Saraki springs surprise, emerges Senate President

Dangers of Fulani Janjaweed in Nigeria: Why relevant...

Death toll confirmed in suicide bomb attack on...

CRISIS HITS PDM •Anenih disowns party •Amaechi, 6...

Boko Haram displaces over 2.1 million

 

Latest News Breaking: Buhari signs 2018 budget Boko Haram still runs camps around Maiduguri: Security Sources APC convention faces crisis over ‘Unity List’ FG to disburse $322m Abacha loot to Nigerians NDDC resumes foreign scholarship scheme N138bn NHIS funds trapped in 17 banks We will stop ISIS from using Nigeria as training ground- FG Bayelsa indigenes flee homes over fear of military invasion Anambra Special Anti-Cultism Squad nabs armed robbers FG okays 94 cattle ranches in 10 states Nigeria to host 28 African countries to tackle insecurity Generator fumes kill mother and 5 children; father in coma

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (352,105 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (351,386 views) Shameless Genevieve Nnaji exposes breasts in public (280,035 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (229,944 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (208,970 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (208,584 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (181,697 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (163,769 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (153,849 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (148,485 views) Lagos plane crash: Journalist releases victims’ names (143,753 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (135,601 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (50) Business & Economy (3,256) Business Verdict (44) Columnists (868) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (505) Features (607) Global Business Monitor (283) International (2,040) Interview (154) Live Commentary (28) Love Matters (123) News (36,338) Opinion (1,003) Pidgin (10) Politics (5,284) Religion (770) Sports (1,551) Stock Watch (30) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

Portugal v Spain 2018

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement