FG Offers N100bn In Green Bonds To Boost Sustainable Finance
The Federal Government of Nigeria (FGN), through the Debt Management Office (DMO), has announced a public offering of N100 billion worth of sovereign green bonds, as part of its ongoing strategy to deepen climate finance, support environmentally sustainable projects, and strengthen Nigeria’s fixed-income market.
According to a statement issued by the DMO through its official social media handle,
the offering consists of two tranches: N50 billion five-year reopening bond due April 2029, at 19.30 per cent interest, and N50 billion new seven-year bond due June 2032, also at 19.30 per cent interest, payable semi-annually.
The auction date is set for June 23, 2025, while the settlement date will be June 25, 2025. The statement said that subscriptions are priced at N1,000 per unit, with a minimum investment of N50,001,000 and in multiples of N1,000 thereafter.
The green bonds are backed by the full faith and credit of the Federal Government of Nigeria and are charged upon the general assets of the nation, offering institutional investors a safe, ESG-compliant instrument.
According to DMO these securities qualify as liquid assets for banks for liquidity ratio calculations.
They are eligible investments under the Trustee Investment Act.
They also qualify as tax-exempt securities under the Company Income Tax Act (CITA) and Personal Income Tax Act (PITA) for pension funds and other qualified investors.
It said that the bonds will be listed on both the Nigerian Exchange Limited (NGX) and the FMDQ OTC Securities Exchange, ensuring secondary market liquidity and wider investor access.
For auction participation, interested investors have been advised to approach any of the following authorised dealer banks: Access Bank, Citibank Nigeria, Coronation Merchant Bank, Ecobank Nigeria, FBNQuest Merchant Bank, First Bank of Nigeria, FCMB, FSDH Merchant Bank, Rand Merchant Bank Nigeria, GTBank, Stanbic IBTC, Standard Chartered, UBA, and Zenith Bank.
The offer underscores Nigeria’s commitment to mobilising climate-aligned capital and mainstreaming ESG financing through the issuance of sovereign green bonds, positioning the country as a key player in Africa’s sustainable finance landscape.
