Nigeria DMO Cuts Q3 2026 Bond Issuance to N3.4‑4.6tn, Adds New 10‑Year Bond
The Debt Management Office revised its Q3 2026 FGN Bond issuance calendar, lowering the indicative total planned issuance to a range of N3.4 trillion–N4.6 trillion, down from the original N4.2 trillion–N5.1 trillion. The July 20 auction remains unchanged at N1.5 trillion–N2.1 trillion. The August 17 auction was cut to N900 billion–N1.1 trillion (from N1.2 trillion–N1.6 trillion), with the 22.60% FGN JAN 2035 bond allocation slashed to N200 billion–N250 billion (from N600 billion–N800 billion) and the 15.45% FGN JUN 2038 bond increased to N650 billion–N750 billion. The September 14 auction was trimmed to N1.0 trillion–N1.4 trillion (from N1.2 trillion–N1.6 trillion) and introduces a new 10‑year benchmark, the FGN SEP 2036 bond, offered alongside a reopening of the 15.45% FGN JUN 2038 bond, each with a planned offer size of N500 billion–N700 billion. The 15.45% FGN JUN 2038 bond now appears in all three auctions, establishing it as the DMO’s anchor security for the quarter. The reduction suggests improved liquidity or a reassessment of short‑term financing needs, contrasting with the recent expansion of the Treasury Bills programme. Investors should monitor demand at the August and September auctions for signals of appetite for longer‑dated FGN paper and consider the new FGN SEP 2036 bond as a medium‑term option, while noting the calendar remains provisional and subject to change.