Investors oversubscribe March FGN Bonds by N140bn
Published March 28, 2019
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Director-General, Debt Management Office, Patience Oniha


Everest Amaefule, Abuja

The Debt Management Office on Wednesday said that FGN Bonds offered to investors for the month of March was oversubscribed by N140bn.

In a statement made available to our correspondent in Abuja, the DMO said it offered N100bn bonds but received a subscription of N240.6bn.



The DMO said, “The FGN Bond auction for March 2019 conducted on Wednesday at which N100bn bonds were offered was oversubscribed just as in the auctions for January and February.

“We offered three instruments at the auction for three, seven and 10-year tenors and subscriptions for the three instruments was in excess of N148bn for competitive bids. Non-competitive bids valued at N92.6bn were also received, taking the total subscriptions across the three tenors to over N240.6bn.”

It added, “The trend of investors’ preference for the longer tenured instrument continued, with the 10-year bond significantly oversubscribed with a bid-to-cover ratio above five.”

“Allotments were made to successful bidders at the rates of 13.5 per cent for the five-year, 13.5 per cent for the seven-year and 13.5 per cent for the 10-year bonds, which are considerably lower than the allotment rates for the February 2019 auction.”

The DMO said that total amount allotted to both competitive and non-competitive bids for the three instruments was N121.95bn.

https://punchng.com/investors-oversubscribe-march-fgn-bonds-by-n140bn/

Investors will not subscribe to your bond if they have doubts about your economy strength. Nigeria is now investment haven for investors.

That is good

deji17:
Investors will not subscribe to your bond if they have doubts about your economy strength. Nigeria is now investment haven for investors.

Simple as APC. I will recommend you as a new minister of finance

Afamed:

Simple as APC. I will recommend you as a new minister of finance

Thank you jare bro. I will bring you along as my consultant...

deji17:
Investors will not subscribe to your bond if they have doubts about your economy strength. Nigeria is now investment haven for investors.

Please dont be smart by half, investors subscribe to your bonds because its at 13.5% and bonds are secured even in the event your country fails, it MUST be paid, or does the 10yrs/5yrs cycle not outlive buhari's tenure?

Why dont they try your industries and other investments if they dont doubt your economic strengths and policies, but rather you gloat on more debt acquisition.

Waiting on your next news "Buhari increases foreign reserve by $300m" or just maybe the CBN would use the funds to hold the dollar at N365.. we know the cycle, we are not all zombies.

Esseite:


Please dont be smart by half, investors subscribe to your bonds because its at 13.5% and bonds are secured even in the event your country fails, it MUST be paid.

Why dont they try your industries and other investments if they dont doubt your economic strengths and policies, but rather you gloat on more debt acquisition.

Waiting on your next news "Buhari increases foreign reserve by $300m"... we are not all zombies.

That you disagree with someone does not mean you will call the person Zombie. What you display here is lack of home training. Yes, Govt bond and good returns but a strong economy is what investors look for. Be it mining, Manufacturing and Agriculture. Investors are making good returns,
PMI is strong too.

deji17:


That you disagree with someone does not mean you will call the person Zombie. What you display here is lack of home training. Yes, Govt bond and good returns but a strong economy is what investors look for. Be it mining, Manufacturing and Agriculture. Investors are making good returns,
PMI is strong too.

At the boldened, I think you should re-check your trading economies again..

The only countries that have similar bond interest rates on a 5yr cycle are Venezuela, Turkey, pakistan, we are the worst in Africa excluding zambia.. looking at the countries mentioned, they are war torn countries, investors dont go to war-torn countries, why do we have ours similar to war-torn countries?

Esseite:


At the boldened, I think you should re-check your trading economies again..

The only countries that have similar bond interest rates on a 5yr cycle are Venezuela, Turkey, pakistan, we are the worst in Africa excluding zambia.. looking at the countries mentioned, they are war torn countries, investors dont go to war-torn countries, why do we have ours similar to war-torn countries?

It is one thing to offer a certain rate, it is something else for your bond to be oversubscribed to. You may offer high rates but if investors don't feel strongly about your economy, it may not amount to much..

deji17:


It is one thing is to offer a certain rate, it is something else for your bond to be oversubscribed to. You may offer high rates but if investors don't feel strongly about your economy, it may not amount to much..

The simple reason is.. its not a war-torn country or comparable to zambia but offers same rate, its an awoff because they have nothing to loose. Its win win for investors as their bonds are secured come what may.

That is why your bonds are oversubscribed and your industries to checkmate your unemployment are neglected.

Esseite:


Please dont be smart by half, investors subscribe to your bonds because its at 13.5% and bonds are secured even in the event your country fails, it MUST be paid, or does the 10years plan not outlive buhari's tenure?

Why dont they try your industries and other investments if they dont doubt your economic strengths and policies, but rather you gloat on more debt acquisition.

Waiting on your next news "Buhari increases foreign reserve by $300m" or just maybe the CBN would use the funds to hold the dollar at N365.. we know the cycle, we are not all zombies.

When you’re ready you’ll jump off the highest cliff in your home village.

KingOfThisnDat:
When you’re ready you’ll jump off the highest cliff in your home village.

Please move front... you cant obviously comprehend, or just scream ipob and move along.

Esseite:


The simple reason is.. its not a war-torn country or comparable to zambia but offers same rate, its an awoff because they have nothing to loose. Its win win for investors as their bonds are secured come what may.

That is why your bonds are oversubscribed and your industries to checkmate your unemployment are neglected.

Money is being invested in critical infrastructure that will spur economic growth. You missed the point. Its not the case of awoof money. If investors don't have confidence in your economy, they will not oversubscribe into your bond.

deji17:


Money is being invested in critical infrastructure that will spur economic growth. You missed the point. Its not the case of awoof money. If investors don't have confidence in your economy, they will not oversubscribe into your bond.

Do you aswell know that in less than 10year they have gotten above 100% profit from that investment of which you pay the interest either quarterly or annually. in event you spend that on overheads like the typical Nigerian govt, then you go into borrowing again, this time with a poorer indices and an accrued debt doubling in figure.

Moreover from your trading economies, manufacturing fluctuated at 24% in 2013 but you have it at 1.70% now, a forcast on that same trading economies put it at maximum of 5% on a 4 year plan, that is with all things being equal.

its just a ticking time bomb waiting to go off coupled with Nigeria benching 250m to 400m population in that time frame.

The only solution is depopulation to get us out of this quagmire, a clip on birth rate.