DMO Offers N250bn Sukuk For Subscription As Debt Rises To $92.6bn

Hamilton Nwosa
Writer

Ad

Labour Party, CSOs task new INEC Chairman, Prof. Amupitan, on transparency, integrity

By Obinna Uballa The appointment of Professor Joash Ojo Amupitan (SAN) as the new Chairman of the Independent National Electoral Commission (INEC) has continued to elicit strong reactions across Nigeria, with both the Labour Party (LP) and a coalition of civil society organizations (CSOs) calling for transparency, independence, and integrity in the handling of his…

Labour Party Disagrees With FG Verdict On EU Report Of 2023 Elections

UK Unveils Temporary Work Visas for Mid-Skilled Jobs to Tackle Labour Shortages

By Obinna Uballa The United Kingdom has announced a new temporary work visa pathway covering 82 mid-skilled occupations, including artists, human resource officers, carpenters, and plumbers, in a bid to fill growing labour shortages across key sectors of the economy. The move follows a new report released on Thursday by the Migration Advisory Committee (MAC),…

Trump Blasts Nobel Committee for ‘Choosing Politics Over Peace’ After Prize Snub

By Obinna Uballa The United States government has blasted the Norwegian Nobel Committee for what it described as a politically motivated decision after President Donald Trump was overlooked for the 2024 Nobel Peace Prize. In a strongly worded statement posted early Friday on X (formerly Twitter), White House Communications Director Steven Cheung accused the committee…

Ad

The Debt Management Office (DMO) has offered for subscription N250 billion road Sukuk instrument for N1,000 per unit.

A statement in DMO’s website indicates that the instrument was issued by “FGN Roads Sukuk Companies 1 Plc.” on behalf of the Federal Government.

The offer is N1,000 per unit subject to a minimum subscription of N10,000 and in multiples of N1,000 thereafter.

“It qualifies as securities in which trustees can invest under the Trustee Investment Act.

“It also qualifies as Government securities within the meaning of Company Income Tax Act (CITA) and Personal Income Tax Act (PITA) for Tax Exemption for Pension Funds, among other investors,” the DMO explained.

It added that the Sukuk instrument is to be listed on the Nigerian Exchange Limited and FMDQ Securities Exchange Limited.

“Classified as Liquid Asset by the Central Bank of Nigeria, and certified by the Financial Regulatory Advisory Council of Experts (FRACE) of the Central Bank of Nigeria.

“It is backed by the full faith and credit of the Federal Government of Nigeria.”

The DMO explained that proceeds would be used solely for the construction and rehabilitation of key road projects across the six geopolitical zones of the country.

It announced the due date as December 2031, and Rental Rate 12.80 per cent per annum.

Meanwhile, the DMO has announced that Nigeria’s Total Public Debt as at Sept. 30, is N38 trillion (92.62 billion dollars).

The office stated that the data included the Total External and Domestic Debts of the Federal Government of Nigeria, 36 State Governments and the Federal Capital Territory.

It explained that the increase of N2.54 trillion when compared to the corresponding figure of N35.4 trillion at the end of the second quarter of 2021 was accounted for by the 4 billion dollars Eurobonds issued by the Government in September.

“The issuance of the 4 billion dollars Eurobonds has brought significant benefits to the economy by increasing the level of Nigeria’s External Reserves, thereby supporting the Naira Exchange Rate and providing necessary capital to enable the Federal Government finance various projects in the Budget.

“The triple tranche 4 billion dollars Eurobond, issued in September 2021, was for the implementation of the New External Borrowing of 6.18 billion dollars in the 2021 Appropriation Act,” DMO explained. (NAN)

Ad

Unlocking Opportunities in the Gulf of Guinea during UNGA80
X whatsapp