Nigeria’s debt market surged to ₦91.99 trillion as yields rose sharply last week.
Investors demanded higher returns, worried about further monetary tightening by the Central Bank of Nigeria.
FMDQ data showed a 3.59% week-on-week increase, reversing previous trends of falling yields.
The jump reflected short-term liquidity pressures and strategic exits ahead of the Capital Gains Tax.
Geopolitical tensions, including US military threats, spooked investors, causing equities to lose over ₦2 trillion.
Treasury Bills And Bonds Trends
Short-term Treasury bills recorded the largest jumps, especially the Feb 5, 2026 bill at 16.23% yield.
The May 7, 2026 and Nov 5, 2026 bills rose modestly by 6bps and 2bps, respectively.
Benchmark sovereign bonds were mostly steady, reflecting moderate demand in the secondary market.
The Apr 17, 2029 bond increased 10bps to 15.87%, while Mar-2036 and Apr-2049 held at 15.67% and 15.57%.
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Nigeria’s Debt And Market Outlook
Corporate debt showed mixed performance, with Dangote Industries Funding Plc climbing 11bps to 17.69%.
Axxela Funding 1 rose slightly to 20.35%, while NSP-SPV PowerCorp advanced to 17.02% yield.
Short-term commercial papers for Dangote Sugar and UAC of Nigeria edged up to 23.96% and 22.86%.
Bond futures showed mild optimism, with the 12M/17-SEP-2026 2Y FGN future at 107.58.
The 10Y FGN Bond Future gained to 132.08, indicating investors expect yields to moderate soon.
Money market rates rose slightly as liquidity thinned, with overnight rates at 24.79%.
Analysts predict borrowing costs will remain high, attracting foreign and institutional investors seeking real returns.
Market focus now shifts to the FGN bond auction on November 24 for pricing cues.
