Nigeria comfortably raised $1 billion in its return to the Eurobond market yesterday, in what signifies a global investors’ endorsement of the Federal Government’s economic recovery initiatives and growth.

The issue was 750% oversubscribed, underscoring still buoyant investor appetite for scarce frontier African paper, despite a recent selloff in emerging market assets. `The Global medium term Note programme of U.S.$1,000,000,000 is due to mature in 2032

It was a day of international acknowledgement and endorsement of the Debt Management Office (DMO) continued effective strategy in a peculiar challenging local and global economic landscape.

The DMO defied all known predictions by international financial and capital market analysts to prove that Nigeria’s economy remains resilient and robust in the international capital market during the issuance of the nation’s first fifteen-years maturity $1B Eurobond.

Africa’s top oil producer issued $1Billion 15-year bond at a 7.875 coupon at a most turbulent time of her economy.

These feet show an unambiguous resilience of the Nigerian economy and strength, particularly in terms of effective bullish public debt management record.

Market players had queried that the Eurobond issuance will meet brick wall due mainly to the country’s Foreign Exchange policy which has seen the Central Bank controlling the exchange regime. Many stakeholders and international financial market analysts had premised at the Eurobond Roadshow in London, Los Angeles and New York that Government’s control of the Forex regime will adversely impact on the fortunes of the Eurobond.

This is the first time Nigeria is issuing a $1B Eurobond in a single tranche. In 2013 the Federal Government issued a $1B Eurobond but in two tranches of $500m each for five and ten years’ maturity each. 2011 was the debut outing of $500m with maturity period of ten years.

The Federal Government will take advantage of this success to reflate an economy in recession and the otherwise turbulent market.

Egypt, with a higher credit rating issued a ten-year Eurobond at 7.5 percent compared to Nigeria’s fifteen-year at 7.875, shows that Nigeria’s has a stronger performance in view of the longer maturity tenor.