The Debt Management Office (DMO), says the Nigerian domestic securities market remains a major source of funding for the Federal Government.
The Director-General of the DMO, Patience Oniha, said this on Monday in Lagos at an interactive session with primary dealers in the Federal Government securities market.
According to Oniha, during COVID-19, when the international markets were closed, we were able to raise the full amount needed to fund the budget.
“Last year, we raised seven trillion Naira 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 said.
Oniha said that the 2024 budget had a deficit of six trillion Naira to be financed through new domestic borrowing.
She said that the National Assembly also approved N7.3 trillion Ways and Means for securitisation.
“Out of the new domestic borrowing of six trillion Naira, we have raised N4.5 trillion. For the Ways and Means, out of seven trillion approved for securitisation, we have raised N4.905 trillion.
“The financial sector has come a long way, and this is another strategic meeting to chart a way forward,’’ Oniha said.
Mrs Nadia Zakari, the President, Financial Market Dealers Association (FMDA), said that the Nigerian business environment was evolving and unique, necessitating such interactive sessions.
According to Zakari, such sessions are critical for both market operators and the Federal Government for them to be able to make decisions as they plan for the rest of the year.
“We stand as financial intermediaries, and we are in a very important position of interacting with other market operators, the end investors and the DMO,’’ she said. (NAN)