President Bola Tinubu has praised the recent report from the National Bureau of Statistics, which indicates that Nigeria achieved another trade surplus in the second quarter of 2024, amounting to ₦6.95 trillion. This current surplus is 6.60 percent higher than the ₦6.52 trillion surplus from the first quarter.
In a statement from his Special Adviser on Information and Strategy, Bayo Onanuga, President Tinubu expressed his confidence in the reforms his administration is implementing, believing they will foster a stronger economy and a new era of prosperity for Nigerians.
According to the presidential aide, the NBS report reflects Nigeria’s strong export performance in the second quarter. This comes shortly after the country experienced nearly 100 percent oversubscription of its first $500 million domestic bond and reported a half-year revenue of ₦9.1 trillion.
The NBS noted that exports drove the Q2 surplus towards Europe, the United States, and Asia.
On Wednesday, Finance Minister and Coordinating Minister of the Economy, Wale Edun, announced that Nigeria’s inaugural foreign-currency domestic bond has garnered $900 million in subscriptions.
During a discussion on the historic bond issuance, Edun emphasized that the oversubscription is indicative of investor confidence in Nigeria’s economic stability and growth potential. “This inaugural domestic FGN US Dollar Bond demonstrates the sustained faith investors have in Nigeria’s economy,” he stated.
Edun also expressed satisfaction as Chair of the African Caucus for launching an initiative that bolsters Nigeria’s economic resilience while broadening opportunities for capital markets across African economies. The bond attracted a diverse group of investors, including Nigerians at home and abroad, as well as institutional participants. The proceeds from the bond will be directed to essential economic sectors as authorized by President Bola Ahmed Tinubu.
The $500 million domestic FGN US Dollar Bond has a five-year maturity and a 9.75 percent coupon rate, representing the first tranche of a $2 billion bond program registered with the Securities and Exchange Commission. This structure allows the government to accommodate oversubscriptions up to the full $2 billion program limit.
Patience Oniha, Director-General of the Debt Management Office, characterized the bond’s success as a critical milestone for Nigeria’s economic development, highlighting that the $900 million raised from various investors showcases the increasing sophistication of Nigeria’s domestic fixed-income market.
