The Federal Government raised a total of ₦596.47 billion at its December 15, 2025, bond auction, buoyed by strong investor appetite, particularly for the seven-year FGN 2032 bond, which was oversubscribed more than threefold.
Data from the Debt Management Office (DMO) show that the auction involved the re-opening of two existing bonds: the 17.945 per cent FGN August 2030 (five-year) bond and the 17.95 per cent FGN June 2032 (seven-year) bond.
Auction details
For the 17.945 per cent FGN August 2030 bond, the government offered ₦230 billion and received subscriptions of ₦159.21 billion. A total of ₦101.99 billion was allotted from 38 successful bids, with yields ranging between 15.00% per cent and 18.51 per cent. The marginal rate was set at 17.20 per cent, with a remaining tenor of four years and eight months.
The 17.95 per cent FGN June 2032 bond attracted strong demand, with subscriptions of ₦731.40 billion against an offer of ₦230 billion. The DMO allotted ₦494.48 billion, in addition to ₦4 billion from non-competitive bids. Yields ranged from 15.00 per cent to 18.52 per cent, while the marginal rate stood at 17.30 per cent. The bond has a remaining tenor of six years and six months.
Both bonds were allotted at their marginal rates, while their original coupon rates remained unchanged.
Big picture
The December auction capped a year of sustained domestic borrowing through the FGN bond market. DMO data show that total bond allotments between January and December 2025 reached about ₦5.12 trillion.
Investor demand remained strong throughout the year. In January, the government raised ₦669.94 billion from a ₦450 billion offer, while in February saw ₦910.39 billion was allotted from just ₦350 billion offered. Although demand softened mid-year, it rebounded from September, with ₦576.62 billion raised in that month alone from a ₦200 billion offer.
The momentum continued into the final quarter, with ₦657 billion raised in November and ₦596.47 billion in December, both from offer sizes of ₦460 billion.
