The House of Representatives has approved Federal Government’s request for the issuance of $500 million Eurobond at international capital market to fund the 2016 budget deficit.
The House in February mandated the Committee on Aids, Loans and Debt Management headed by Adeyinka Ajayi (APC-Osun), to consider the federal government’s request for additional $500 million Eurobond to be raised through the International Capital Market (ICM) to further finance the 2016 budget.
The House after the consideration and adoption of the Committee report on Wednesday mandated the Committee to monitor the disbursement of the approved $500 million Eurobond as specified in the 2016 Appropriation Act, to ensure compliance.
The Committee said in its report that the Eurobond performance has down trend which showed that the investors are showing interest in the Nigerian bond.
“Therefore the interest rate is falling which implies that Nigeria can get the bond at a better rate. It also indicates that the international community rating of Nigerian economy is high,” it added.