The Federal Authorities has absolutely redeemed its maiden Sovereign Sukuk of N100 billion issued in 2017, fulfilling all investor obligations and reaffirming its dedication to accountable debt administration.
The announcement was made Monday throughout an Investor Assembly in Abuja hosted by the Debt Administration Workplace (DMO), coinciding with the launch of a brand new N300 billion Sequence VII Sukuk geared toward funding essential highway initiatives nationwide.
DMO Director Common, Persistence Oniha, confirmed that each one 2017 Sukuk holders had acquired their full principal and rental funds, noting the redemption marked a key milestone in Nigeria’s Islamic finance journey.
“The construction was clear and compliant, with CBN guaranteeing scheduled disbursements. Now, we’ve closed that cycle efficiently,” Oniha mentioned.
She linked Nigeria’s enhancing debt outlook—just lately upgraded by Fitch Rankings—to ongoing fiscal and financial reforms, together with enhanced international change insurance policies and stronger oil income initiatives.
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Oniha acknowledged the nation’s debt inventory hit ₦144.67 trillion as of December 2023, pushed partly by naira depreciation and inclusion of N30 trillion in Methods and Means advances. Nevertheless, she emphasised the debt stays sustainable, with over 60% of exterior borrowings coming from concessional sources.
On home borrowing, she highlighted energetic participation in long-tenure bonds, Treasury payments, and Sukuk, catering to each institutional and retail buyers.
“Sukuk has change into a trusted funding software, attracting a various investor base and serving to construct essential infrastructure,” Oniha mentioned.
The brand new N300 billion Sukuk proceeds will proceed this legacy by financing roads throughout the federation. The DMO reiterated its dedication to transparency, moral funding, and investor confidence as Nigeria expands its infrastructure base for inclusive progress.
