DMO allots above offer as August auction clears Jan-2035, Apr-2037, Jun-2038 at 17.15%-17.79%

On 17 August 2026 the Debt Management Office reopened three FGN bonds (Jan-2035, Apr-2037, Jun-2038). Bids totaled NGN1.73tn versus a NGN1.10tn offer; the DMO allotted NGN1.56tn and cleared the three maturities at 17.15%, 17.19% and 17.79%, respectively, moving long-end local-currency funding costs lower.

The auction shows strong domestic demand for longer-dated NGN paper and a willingness among investors to accept lower nominal yields, which reduces the government’s marginal domestic borrowing cost if sustained. However, high absolute yields and naira risk remain; follow-through in the secondary market is required before treating the move as a broad re-pricing of Nigeria’s domestic curve.

Market reaction in secondary FGN bond trading and the DMOs September reopening of these bonds.