Uche Usim, Abuja
The Debt Management Office (DMO) on Thursday disclosed that its March auction was oversubscribed, just like the January and February auctions. Total subscription at the March auction was N142.81 billion, representing 204% of the amount offered.
The DMO said the exercise was the third in the series of FGN Bond auctions to raise funds for the implementation of the 2018 Budget.
The bonds were offered in three tenors – five, seven and 10 years, to meet the needs of the various investor categories.
Based on the bids received, a total of N64.06 billion was allotted and the rates were 13.40 per cent for the five-year, 13.53 per cent for the seven-year and 13.60 per cent for the 10-year bond.
The subscription rates for the 5, 7 and 10 year Bonds were 189%, 84% and 329% respectively, showing the preference of investors for the 10-year bond.