Nigeria Plans $1.7 Billion Eurobond to Help Fund 2024 Budget

Nigeria plans to issue eurobonds and Islamic sukuk bonds as part of the debt portion for funding this year’s budget, according to Finance Minister Wale Edun.

The debt will comprise a $1.7 billion eurobond and $500 million of sukuk, the minister said at a briefing in Abuja, the capital on Thursday. Authorities are working to submit the borrowing plan to lawmakers this year and expect approval “as soon as possible,” he said. The new borrowing “is part of the Nigerian 2024 appropriation Act as amended,” Edun said.

Africa’s largest oil producer in September raised $900 million in its first domestic sale of dollar-denominated bonds aimed at supporting this year’s budget.

The government has struggled to match public spending with revenue because of disruptions in crude oil production, low tax collections and a lack of economic diversification, burdening public finances.