The Debt Management Office (DMO), on behalf of the Federal Government of Nigeria, has released its December 2025 bond auction circular, offering fresh opportunities for institutional and private investors seeking secure, long-term sovereign instruments. The announcement marks another step in the government’s ongoing strategy to deepen the domestic debt market and provide credible, high-yield investment options.
In the latest issuance, the DMO will reopen two existing Federal Government of Nigeria (FGN) bonds: the 17.945% FGN AUG 2030 and the 17.95% FGN JUNE 2032 issues. Each tranche carries an offer size of ₦230 billion, bringing the total available amount to ₦460 billion. The auction is slated for December 15, 2025, with settlement scheduled for December 17. As reopened instruments, the bonds are expected to enhance market liquidity and improve price discovery across the mid-curve segment of the sovereign debt market, making them more attractive for long-term portfolio positioning.
According to the circular, investors must subscribe with a minimum entry of ₦50,001,000, while additional bids are permitted in increments of ₦1,000. Allotments will be based on the yield-to-maturity that clears the auction, with accrued interest included in the final pricing. The bonds maintain semi-annual coupon payments and a bullet repayment structure at maturity, in line with Nigeria’s sovereign issuance framework.
The instruments continue to enjoy strong regulatory standing. They qualify as trustee investments under the Trustee Investment Act and are recognized as Government Securities under the Companies Income Tax Act and the Personal Income Tax Act—features that make them particularly appealing to pension funds and other regulated institutional investors. The bonds are listed on both the Nigerian Exchange Limited (NGX) and FMDQ OTC Securities Exchange, providing investors with access to a liquid secondary market. Banks may also count the securities as liquid assets for meeting statutory liquidity ratio requirements.
With the full faith and credit of the Federal Government of Nigeria behind them, the reopened 2030 and 2032 FGN bonds offer investors a high level of security. Coupled with their competitive yields and established regulatory credentials, the December 2025 auction is poised to attract strong interest from investors seeking stability, predictable cash flows, and reliable long-term value in an evolving macroeconomic environment.
