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Niger govt to float N40bn bond

By Wole Mosadomi

Minna — Following the successful floating of N6  billion development bond by the Niger State government in 2009, it is considering an additional N40 billion bond for infrastructural development in 2010.

Permanent Secretary of Budget and Economic Planning, Alhaji Sulaiman Maitani, dropped the hint while speaking on the 43 billion Naira projected capital receipt in the state 2010 financial estimate.

He disclosed that, the state government has concluded arrangements to float a 30 billion Naira integrated bond for infrastructural develop-ment by opening up more rural roads, water supply and sporting facilities.

Maitani explained that the state government will also float another 10 billion Naira commercial bond specifically dedicated for the develop-ment of Suleja twin city project in 2010.

He noted that the state decided to access the capital market by floating bonds for development because of its relative interest paid to investors compared to commercial banks.

According to him, the state government has learnt valuable lessons from the initial N6 billion it floated six months ago, assuring that proceeds from the bond will be judiciously utilised for the benefit of the people.

He explained that the state government will explore all available options towards bridging the N6.9 billion deficit in the financial estimate.


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