By Samuel Bankole
The Debt Management Office (DMO) is set to list the N130 Billion Sovereign Sukuk on the Nigerian Exchange Group (NGX) and the FMDQ Securities Exchange today, marking a significant step in expanding the range of financial offerings available to capital market investors.
In a statement, the debt office said the Sovereign Sukuk, which was initially opened for subscription in November 2022 with an initial offer of N100 billion, garnered remarkable interest from investors, resulting in a subscription level of N165.25 billion, equivalent to over 165 percent of the amount offered.
The DMO stated that in response to the substantial demand and diverse investor interest, an allocation of N130 billion was made.
Since 2017, the total issuance of Sovereign Sukuk in Nigeria has reached N742.557 billion. The proceeds from these issuances have been instrumental in facilitating the construction and rehabilitation of more than seventy-five (75) roads and bridges across the country, contributing to critical infrastructure development.
It said that the listing of the N130 Billion Sovereign Sukuk on both the NGX and FMDQ Securities Exchanges is expected to have a positive impact on the capital market ecosystem.
By providing investors with the opportunity to buy and sell the Sovereign Sukuk, the listing enhances liquidity, promotes price discovery, and fosters increased engagement within the capital market.
The move underlines the DMO’s commitment to leveraging innovative financial instruments to address the country’s infrastructure needs while also fostering a vibrant and liquid capital market for investors.
(Edited by Oludare Mayowa; email@example.com; Newsroom: +234 8033 964 138)