Nigeria sells N50bn 7-, 10-yr bonds, yields fall

Nigeria sold N50 billion worth of 7-year and 10-year sovereign bonds maturing in 2019 and 2022 at an auction, with yields falling more than 100 basis points on both. Nigeria sold N25 billion apiece in the 7-year and 10-year bond at 12.49 percent and 12.01 percent each, compared with 13.74 percent and 13.5 percent respectively at the last auction.

Total subscription for the notes stood at N121.01 billion compared with N144.32 billion at the last auction. Nigeria was included in the JP Morgan’s Government Bond Index for emerging markets (GBI-EM) on Oct. 1, spurring a fall in local bond yields that has steadily continued.

The inclusion in the JP Morgan index is expected to attract about $1.5 billion in offshore investment in the local bond market, the bank says. Nigeria issues sovereign bonds monthly to support the local bond market, create a benchmark for corporate issuance and fund its budget deficit.

Alleged N1.3b subsidy fraud: 2 oil marketers challenge court jurisdiction

Two oil marketers, Aro Bamidele and Abiodun Bankole, on Thursday challenged the jurisdiction of a Lagos High Court in Ikeja to hear the alleged theft of N1.3 billion fuel subsidy charge against them.