The Debt Management Office (DMO) said on Tuesday that it raised N1.495 trillion from Federal Government of Nigeria (FGN) bonds at its monthly auction of February 2024.

The News Agency of Nigeria (NAN) reports that the DMO offered N1.25 trillion seven-year bond, maturing in 2031 and another N1.25 trillion 10-year FGN bond, maturing in 2034.

DMO offers 2 FGN savings bonds for subscription for February

The debt office said that it received total bids of N1.9 trillion, making it the highest it received in any of the FGN securities auction.

“At the close of the auction, a total of N873.53 billion was allotted for the 2031 FGN bond and N621.38 billion was allotted for the 2034 FGN bond, making a total allotment of N1.495 trillion.

“The relatively large amount on offer was based on the FGN’s financing need, the opportunity to attract foreign investors, as well as, the premise that some local investors may be able to access pools of funds,” it said.

The FGN bonds and other government securities like the savings bond and the Sukuk bond constitute the local component of government borrowing.

The N1.495 trillion bonds allotment is part of the new domestic borrowing of six trillion naira in the 2024 Appropriation Act.

The National Assembly also, recently, approved the securitisation of 27 trillion naira “Ways and Means’’ advances to the Federal Government by the CBN.