… Says reflecting strong investor confidence
The Debt Management Office (DMO) on Wednesday announced that the third Sovereign Green Bond issuance by the Federal Government of Nigeria (FGN) closed with a total subscription of N91.42 billion, far exceeding the N50 billion offered.
The strong demand represents a subscription rate of 183 percent, reinforcing investor confidence in both the FGN’s securities and Nigeria’s commitment to sustainable development.
The offer, which closed on June 18, 2025, marks the third in the series of Green Bond issuances by the DMO on behalf of the Federal Government. According to the DMO, the bond attracted broad investor interest, underscoring the growing appeal of sustainable finance instruments in the domestic capital market.
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A total of N47.355 billion was allotted to investors at a coupon rate of 18.95 percent per annum. The proceeds from the Green Bond will be channelled toward projects captured in the 2024 Appropriation Act that align with Nigeria’s climate goals. These projects support the country’s Nationally Determined Contributions (NDCs) under the Paris Agreement and its target of achieving net-zero emissions by 2060.
Commenting on the outcome, Patience Oniha, director general of DMO, said, “The strong investor interest in this Green Bond demonstrates growing confidence in Nigeria’s commitment to sustainable financing. Green Bonds are becoming an increasingly important instrument for mobilising capital towards our climate objectives and sustainable development agenda.”
The latest issuance reaffirms the DMO’s ongoing role in not only promoting sustainability but also deepening the domestic capital market. The transaction was arranged with Chapel Hill Denham and Stanbic IBTC Capital Limited as Financial Advisers, Book Runners, and Issuing Houses.
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