Nigeria’s federal government has raised roughly N1.23 trillion through two bond issuances aimed at settling part of the N4 trillion in legacy debt owed to power generation companies (GenCos), officials said Monday.
Nigerian Bulk Electricity Trading Plc (NBET) chief executive Akin Odeyemi told a ceremony in Abuja that the latest tranche, Series 2, raised N728.9 billion, building on N501 billion secured in January’s Series 1. He said 11 GenCos took part in the second round, up from eight in the first, which he described as a sign of growing investor confidence in the debt-clearance program.
Officials stressed the bond issuances are meant to complement — not substitute for — broader sector reforms. Power Minister Joseph Tegbe and other officials called for tighter market discipline, better revenue collection and reduced technical and commercial losses across the electricity value chain to prevent similar debts from piling up again.
Separately, Nigeria’s Debt Management Office opened a fresh N1 trillion bond auction on Monday, offering a new 10-year bond due September 2036 (N400 billion) and reopening the 15.45% June 2038 bond (N600 billion), with settlement due September 16. It follows a strong August auction in which investor bids of N1.73 trillion outstripped Nigeria’s N1.1 trillion offer, leading the DMO to allot N1.56 trillion.
