The Debt Management Office has revealed that the Federal Government plans to raise N900 billion by reopening three federal bonds in its January 2026 auction.

According to a DMO circular released on Monday, the auction is set for January 26, 2026, with settlement scheduled for January 28, 2026.

The offering includes medium- and long-term bonds, giving investors options across different maturities.

The January auction will feature three reopened bonds, targeting N300 billion from the 18.50% FGN February 2031 bond, N400 billion from the 19.00% FGN February 2034 bond, and N200 billion from the 22.60% FGN January 2035 bond.

Each bond is priced at N1,000 per unit, with a minimum subscription of N50,001,000 and additional subscriptions in multiples of N1,000.

The coupon rates are fixed, and successful bidders will pay a price based on the yield-to-maturity that clears the auction, plus any accrued interest.

Interest on the bonds is paid semi-annually, with the principal repaid in full at maturity under a bullet repayment structure.

DMO records show that total bond allotments in 2025 reached around N5.12 trillion, reflecting strong market participation and demand for government securities.

The Federal Government has regularly used bond reopenings to finance budget deficits while strengthening Nigeria’s domestic debt market.

These instruments offer long-term investment opportunities for pension funds, insurance companies, and individual investors seeking stable, predictable returns.

Additionally, these bond offerings enhance market liquidity and help establish a benchmark yield curve for Nigeria’s domestic debt market.

Investors in the January auction will also enjoy several statutory and regulatory benefits.

The bonds qualify as investments for trustees under the Trustee Investment Act and are recognised as government securities under the Company Income Tax Act and Personal Income Tax Act, making them eligible for tax exemptions.