The Debt Management Office (DMO) has successfully raised N4.9 trillion out of the N7.3 trillion approved for the securitisation of Ways and Means, according to Director General Patience Oniha. The announcement was made during an interactive session with primary dealers in the federal government securities market held in Lagos yesterday.
Oniha highlighted the importance of the domestic financial market as a key funding source for the federal government. “For the Ways and Means, out of the N7 trillion approved for securitisation, we have raised N4.905 trillion,” she stated.
In addition to the Ways and Means securitisation, Oniha disclosed that N4.5 trillion has been borrowed to partially finance the N6 trillion budget deficit for the current fiscal year. “Out of the new domestic borrowing of N6 trillion, we have raised N4.5 trillion,” she said.
Reflecting on the challenges faced during the COVID-19 pandemic, Oniha noted that the government was able to meet its funding needs through the domestic market even when international markets were inaccessible. “Last year, we raised N7 trillion as new domestic borrowing. It speaks to the size of the domestic market, its resilience, and its sophistication, unlike we have in many African markets,” she remarked.
The Director General emphasized the progress of Nigeria’s financial sector, stating that the interactive session was part of a strategic effort to continue its development and chart a way forward.
The interactive session underscored the crucial role of the domestic financial market in supporting government funding requirements and highlighted the ongoing efforts to enhance the market’s resilience and sophistication.