Ngozi Amuche
Debt Management Office has allotted a total of N103.81 billion worth of bonds, even as Monetary Policy Committee cuts lending rate, which is about 71.59percent of the total amount offered.
The allotted amount comprises N66.97 billion, N25.43billion, N6.81 billion, N4.60 billion respectively, for the 10, 15, 25, and 30-year tenors.
Recall that DMO had, earlier in the year, announced its offering of the Federal Government bond worth N145 billion. The auctioning of the offer took place on September 23, 2020, and it was oversubscribed by N215.22 billion.
According to recent data by the DMO obtained by First news online.com, out of the 78, 71,57,104 total bids for the bonds, 50, 13, 7, and 6 bids were successful.
The average yield fell by 7bps to 7.21percent, as the yield at the mid-end of the curve contracted the most 13bps to 7.31percent.
In the short and long end, yields fell by 1bps and 7bps to 4.16percent and 9.57percent, respectively.
The bond auctioned was oversubscribed by 2.48 times. Bid to cover ratio was highest on the 30-year bond by 35.64 times, offered at 8.92percent per annum.