Nigeria Redeems $500 Million Eurobond Debt

The Debt Management Office (DMO) has said Nigeria has redeemed a $500 million Eurobond on its due date on July 12, 2023.

In a statement on Wednesday, the DMO said the Eurobond was issued on July 2018 as part of a dual-tranche of $1 billion for a tenure of 10 years at a coupon of 6.375% per annum.

The DMO said the successful redemption of the Eurobond shows the country’s commitment to meeting its debt service obligations.

The statement reads: “Nigeria had previously redeemed a USD500 million Eurobond in July 2018, another USD500 million Eurobond in January 2021, and a USD300 million Diaspora Bond in June 2022.

“These, together with the USD500 million Eurobond redeemed today, bring the total amount of securities redeemed by Nigeria in the International Capital Market (ICM) to USD1.8 billion.

Nigeria’s successful redemption of its Eurobonds and Diaspora Bond in the ICM over the past six (6) years is a demonstration of its strong debt management operations and planning.”

Naija News reports that Eurobond is a debt instrument that’s denominated in a currency other than the home currency of the country or market in which it is issued.