FG raises ₦729bn bond to pay power companies
The Federal Government has raised a ₦729bn bond to settle outstanding debts owed to electricity generation companies under its power sector debt programme. Read More: https://punchng.com/fg-raises-%e2%82%a6729bn-bond-to-pay-power-companies/
The Federal Government of Nigeria has issued a ₦729 billion bond as part of the Power Sector Multi-Instrument Issuance Programme, aimed at settling outstanding debts to electricity generation companies. This marks the second issuance under the N4tn Power Sector Multi-Instrument Issuance Programme, with the first phase raising N1.23tn.
The new Series 2 bond, which follows the successful completion of the inaugural Series 1 issuance, will be implemented in two tranches, Tranche A and Tranche B. The objective of the bond program is to address legacy obligations that have weakened liquidity, constrained investments, and affected confidence in Nigeria's electricity markets.
The Minister of Finance, Taiwo Oyedele, emphasized the importance of supporting the bond program with reforms to ensure a sustainable electricity market and prevent the recurrence of such obligations.
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- FG raises ₦729bn bond to pay power companies punchng.com
