The Federal Government of Nigeria plans to issue a bond totaling between $100 – $300 million aimed at its Diaspora populace spread across the world.
“We are still working on it, it will be a minimum $100 million and up to $300 million,” said Abraham Nwankwo, Director-General of Nigeria’s Debt Management Office (DMO). The bond will launch “before the year ends,” he added.
Stanbic IBTC and Goldman Sachs would serve as lead managers of the bond offering. The bond will be sold only to offshore diaspora investors with no on-shore portion.
Coordinating Minister for the Economy and Minister of Finance, Dr. Ngozi Okonjo-Iweala further weighed in:”The idea is to help Nigerians in the Diaspora invest in infrastructure development in the country so that most of them can see and feel what they are investing in.”
“Now, we are asking for approval to appoint all the consultants and the transaction parties as we call them who will be able to assist us on this bond. Very few countries have been able to float a Diaspora bond successfully. The best two examples are Israel and India.”