N10.6bn Sovereign Green Bond oversubscribed – DMO

The Debt Management Office (DMO) has said that the debut Sovereign Green Bond offered to the general public in December 2017 was oversubscribed.

A statement by the DMO Thursday said at the close of the offer, the total subscription received was N10.791 billion compared to the N10.69 billion offered.

Among the investors who subscribed to the Green Bond were banks, pension funds, asset managers and retail investors. The DMO had offered N10.69 billion Sovereign Green Bond for a Tenor of 5 years and Coupon of 13.48%.

The DMO is pleased with the strong interest shown by investors and added that it shows investors interest in new products and support for the objective behind the issuance of the bond which is to invest in projects that will contribute to preserving the environment.

It also shows support for the Paris Agreement on the Climate, which Nigeria has endorsed.

It will be recalled that the Green Bond which was rated ‘Excellent’ by Moody’s, was issued as part of the Federal Government’s New Domestic Borrowing in the 2017 Appropriation Act to finance three (3) Projects.

The Projects are Energising Education Programme, Renewable Energy Micro Utilities and Afforestation Programme.

The DMO expressed its commitment to providing products that meet the needs of investors for their portfolio preferences and to continue to promote financial inclusion.