FG plans second N729bn bond to settle power sector debts
The Federal Government is preparing to issue a second bond of about N729bn to pay verified legacy debts owed to electricity generation companies. This move is part of the Presidential Power Sector Debt Reduction Programme, which aims to restore liquidity and boost investor confidence in Nigeria’s power sector. The Nigerian Bulk Electricity Trading Plc announced the plan, highlighting the government’s commitment to meeting its financial obligations. The initiative is expected to strengthen the financial sustainability of the electricity sector and attract new investments.
TLDR
- The Federal Government will issue a second bond worth about N729bn to settle legacy debts to electricity generation companies.
- An Investors’ Forum is scheduled for Tuesday, July 21, 2026, ahead of the bond issuance.
- The first bond issuance released about N501bn in January 2026 under the programme approved by President Bola Tinubu.
- The first coupon and principal repayment on the Series 1 bond was settled in full on July 14, 2026.
- The N1.23tn Series 1 and Series 2 bonds are part of the first phase of the broader N4tn Presidential Power Sector Debt Reduction Programme, approved by the Federal Executive Council in 2025.
