DMO to auction N600bn FGN bond in May 2026

The Debt Management Office (DMO), on behalf of the Federal Government, has announced a fresh N600 billion Federal Government of Nigeria (FGN) bond auction for May 2026.


The bond offer forms part of the government’s broader strategy to finance fiscal obligations, deepen the domestic capital market, and attract institutional investors amid sustained demand for fixed-income securities.

According to the offer circular issued by the DMO on Tuesday, the auction will take place on May 18, 2026, while successful subscriptions will be settled on May 20, 2026.

The DMO said that the offer consists of two re-opened FGN bond instruments valued at N300 billion each. N300 billion 22.60% FGN January 2035 10-year re-opening bond; N300 billion 16.2499% FGN April 2037 20-year re-opening bond. The Bond units are priced at N1,000 each and a minimum subscription is N50,001,000. However additional investments are allowed in multiples of N1,000

The DMO said that because both instruments are re-openings of previously issued bonds, coupon rates have already been fixed. Interest payments will be made semi-annually, while Principal repayment will be through a bullet repayment structure at maturity.

Successful bidders will pay based on the yield-to-maturity that clears the auction, in addition to accrued interest. The agency also noted that the bonds are backed by the full faith and credit of the Federal Government of Nigeria.

The latest bond issuance highlights the Federal Government’s continued reliance on the domestic debt market to fund budget deficits, refinance maturing obligations, and support infrastructure spending while reducing exposure to foreign currency borrowing risks.

The DMO directed interested investors to submit applications through approved Primary Dealer Market Makers (PDMMs), including major financial institutions such as Access Bank, First Bank, Stanbic IBTC, GTBank, UBA, Zenith Bank, Ecobank, and Standard Chartered Bank Nigeria.