Nigeria’s return to the international capital market has proven to be a resounding success, as global investors demonstrated renewed confidence in the country’s economic direction and reform efforts.
According to the Debt Management Office (DMO), the Federal Republic of Nigeria’s $2.35 billion Eurobond attracted total bids worth $13 billion, representing an oversubscription of 453 percent — or $10.65 billion above the offer size.
The strong investor demand comes despite ongoing political and economic headwinds, including delayed foreign loans from the World Bank and the State of Qatar, as well as heightened international scrutiny over Nigeria’s human rights record and security concerns.
The DMO stated that Nigeria successfully priced $1.25 billion in 10-year notes maturing in 2036 and $1.10 billion in 20-year notes maturing in 2046, with coupon rates of 8.625% and 9.125%, respectively.
“The successful pricing reflects the confidence of international investors in Nigeria’s medium- to long-term economic outlook,” the DMO said. “The proceeds will be used to fund budgetary projects and reduce domestic borrowing pressure.”
Global Confidence in Nigeria’s Economy
Analysts say the oversubscription underscores renewed global trust in Nigeria’s economic resilience and fiscal discipline, particularly under President Bola Ahmed Tinubu’s administration, which has pushed for major reforms such as fuel subsidy removal, FX unification, and fiscal consolidation.
Dr. Celestine Ukpong, an Abuja-based economist, said the success of the Eurobond issuance reflects investors’ belief in Nigeria’s long-term potential.
“Despite challenges, investors recognize Nigeria’s vast opportunities — from its consumer market to its natural resource wealth. This success shows that confidence in Nigeria’s fundamentals remains intact,” he said.
However, Peter Adebayo, a chartered accountant and financial analyst, cautioned that the government must ensure that the proceeds are productively utilized.
“Borrowing is only meaningful if it funds infrastructure and sectors that can generate returns. Nigeria must channel these funds into productive ventures that create jobs and stimulate growth,” Adebayo advised.
A Strong Signal Amid Global Tensions
The Eurobond sale also marks a major win for Nigeria amid global uncertainties. Despite lingering concerns from Western nations — including a previous classification by former U.S. President Donald Trump, who designated Nigeria as a “Country of Particular Concern” over alleged religious violence — the nation’s bond sale drew overwhelming interest from global investors.
Economists say the achievement sends a strong signal to international markets that Nigeria remains a viable investment destination, capable of attracting long-term capital even under difficult global conditions.
Pathway to Fiscal Stability
Financial experts believe the successful Eurobond issuance could improve Nigeria’s foreign reserves, enhance fiscal flexibility, and strengthen the country’s negotiating position with multilateral lenders.
The move is part of the government’s strategy to diversify funding sources and reduce reliance on domestic borrowing, which has strained local liquidity and increased interest rates.
With this strong comeback to the global bond market, Nigeria has once again demonstrated its ability to inspire investor confidence and attract foreign capital — despite political turbulence and economic constraints.
Nigeria’s $2.35bn Eurobond issue was oversubscribed by $10.65bn, signaling strong investor confidence in the country’s reform-driven economy despite delayed World Bank and Qatari loans.
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