The Federal Government of Nigeria has successfully redeemed its first-ever Sovereign Sukuk worth N100 billion, issued in 2017. This marks the full repayment of both principal and earlier rental returns to investors, demonstrating the government’s commitment to transparent and responsible debt management.
The announcement was made on Monday during an Investor Meeting organized by the Debt Management Office (DMO) in Abuja, where the new N300 billion Series VII Sukuk was officially launched.
Under the Sukuk structure, the Central Bank of Nigeria acted as the Paying Agent, distributing periodic rental returns to investors. At maturity, the government repurchased the underlying road infrastructure assets and made bulk principal payments to investors, thereby concluding the transaction cycle.
Speaking at the event, DMO Director General, Ms. Patience Oniha, highlighted recent improvements in Nigeria’s macroeconomic indicators, including Fitch Ratings’ upgrade of the country’s credit outlook. She attributed this progress to ongoing fiscal and monetary reforms, particularly those initiated by the Central Bank to stabilize the foreign exchange market.
“There’s more transparency now. FX supply has improved and exchange rates are stabilizing,” Oniha said, noting that the initial tough measures are beginning to yield results.
She emphasized that while development takes time, current policies are positioning Nigeria on a sustainable growth path.
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