Good news for Nigerians as President Tinubu made possible the country redeemed a 10 years $500 Million Eurobond on its due date on July 12, 2023.
According to investopedia, a Eurobond is a debt instrument that’s denominated in a currency other than the home currency of the country or market in which it is issued.
The announcement was on the Debt management office of Nigeria website. The press statement reads in parts “Nigeria had previously redeemed a USD500 million Eurobond in July 2018, another USD500 million Eurobond in January 2021, and a USD300 million Diaspora Bond in June 2022. These, together with the USD500 million Eurobond redeemed today, bring the total amount of securities redeemed by Nigeria in the International Capital Market (ICM) to USD1.8 billion.”
The DMO was established on 4th October, 2000 to centrally coordinate the management of Nigeria’s debt, which was hitherto being done by a myriad of establishments in an uncoordinated fashion.
FG further assured the citizens that Nigeria’s successful redemption of its Eurobonds and Diaspora Bonds in the ICM over the past six (6) years is a demonstration of its strong debt management operations and planning.
Recall that the Eurobond was issued in July 2013 during Goodluck Ebele Jonathan tenure (as part of a dual-tranche USD1 billion Eurobond), for a tenor of ten (10) years at a coupon of 6.375 per cent.