The Federal Government has announced it will raise $2.3 billion from international debt markets before December as part of its funding strategy for 2025. The Eurobond sale will refinance a $1.18 billion bond due in November and provide additional backing for Nigeria’s external reserves.
Officials describe the move as part of a wider liability management plan intended to cut rollover risks, extend debt maturity profiles, and keep investor confidence intact. The issuance will likely feature multiple tranches, depending on market conditions and pricing when the offer goes live.
The Central Bank of Nigeria (CBN) says engagement with international investors is already underway at the IMF and World Bank Annual Meetings in Washington D.C., where Nigerian authorities are presenting the country’s economic outlook and reform progress.
Mohammed Sadi Abdullahi, Deputy Governor for Economic Policy, said the Eurobond will follow the strong demand seen in domestic debt auctions earlier this year. All 2025 local bond issues have been fully subscribed, pointing to renewed interest in naira-denominated assets and growing confidence in fiscal policy.
Nigeria plans to raise $2.3 billion through Eurobond issuance before December to refinance maturing debt and boost foreign reserves as part of 2025 funding plan.
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He explained the Eurobond will support external liquidity whilst keeping debt ratios in check. Proceeds will partly cover the November maturity and fund selected foreign exchange stabilisation measures designed to improve reserve levels.
Abdullahi added that government agencies are working with transaction advisers to finalise the structure and tenor mix. Authorities remain focused on a transparent process that balances market pricing with long-term debt sustainability.
Analysts view the decision to tap the Eurobond market now as a sensible approach to managing external debt. It should also reassure global investors that Nigeria is serious about meeting its commitments and keeping access to international capital open.
Market watchers expect the bond to price within the usual yield range for comparable African sovereign issues, shaped by investor views on Nigeria’s recent fiscal and monetary reforms. These include a new framework letting investors offset capital losses, expanded corporate tax deductions, and tighter liquidity controls through a 75 per cent cash reserve ratio on public sector deposits.
The Ministry of Finance has not yet disclosed specific timing or coupon details, but officials confirmed that offer documents are nearly ready. Investor meetings are set to run through October before final approval.
The Eurobond programme is part of the government’s broader effort to diversify funding, reduce reliance on short-term domestic borrowing, and support balance of payments stability.
Analysts expect rating agencies and foreign portfolio managers to watch the transaction closely as they assess Nigeria’s credit prospects for 2026.
If it goes ahead as planned, the $2.3 billion Eurobond will mark Nigeria’s return to international markets after a two-year break and strengthen its position among active African sovereign issuers.
