The Federal Government’s aggressive domestic borrowing programme is pushing up the cost of raising debt, as investors demand higher returns ahead of what is expected to be one of Nigeria’s biggest sovereign debt issuance programmes in recent years.
Average yields on Federal Government of Nigeria (FGN) bonds climbed 148 basis points to 17.79 percent in June, extending the sell-off in the secondary market as investors repriced government securities amid expectations of significantly higher bond supply.
The pressure stems from the government
