According to the Debt Management Office (DMO), Nigeria has redeemed a $300 million diaspora bond that was due to maturity on June 27, 2022.
The DMO stated on its website that the bond was issued on the International Capital Market on June 27, 2022, for a tenor of five years.
It went on to say that the bond proceeds were utilized to help fund the deficit in the 2017 Appropriations Act. The DMO promised bond investors that Nigeria will honour its debt obligations and urged the Nigerian Diaspora to invest more in the country.
The statement read in part, “Nigeria has again demonstrated its commitment to honouring its debt obligations as at when due by the redemption of the $300m Diaspora Bond which matured on June 27, 2022.
“The Diaspora Bond was issued on June 27, 2017, for a tenor of five years in the International Capital Market and the proceeds were used to partly finance the deficit in the 2017 Appropriation Act.
“In addition to the objective of raising funds for the Government, it was an initiative to avail the Nigerian Diaspora the opportunity to invest in their home country. With the redemption of the $500m Eurobond in January 2021 and recently, the $300m Diaspora Bond, the FGN has increased investors’ confidence in its commitment and ability to fulfil its debt obligations at maturity thereby reinforcing its presence in the International Capital Market.”
