As stocks post biggest daily gain in 6 months

NIGERIA plans to raise N130 billion ($427 million) from its third debt sale this year on March 15, the Debt Management Office said yesterday in Abuja. The debt office said it would issue N45 billion in bonds due in 2021, N50 billion maturing in 2027, and N35 billion due
2036, using the Dutch auction system which begins with a high asking price that is lowered until the bond is sold. Settlement is expected on the day following the issue. The bonds are reopenings of previous issues, except the 2027 which is a new issue.
Africa’s biggest economy auctions sovereign bonds monthly to help fund its budget deficit, support the local debt market and to maintain a benchmark for companies to follow. Nigeria expects a N2.36 trillion budget deficit for 2017, with half of it funded through domestic borrowing.
Stocks post biggest daily gain
Nigerian stocks posted their biggest daily rise for six months on Tuesday, rising 2.23 percent to
25,129 points. Nigeria’s biggest listed company, Dangote Cement , majority-owned by Africa’s richest man, Aliko Dangote, and accounting for a third of total market capitalisation, rose 4.92 percent. Brokers say better than expected corporate results especially from the banking sector after Zenith Bank and Access Bank declared dividends amidst a weak economic outlook buoyed stocks.
…to raise N1.13trn treasury bills next quarter
Nigeria plans to sell N1.13 trillion ($3.70 billion) worth of treasury bills between March 16 and June 1, a central bank debt calendar showed. The bank aims to auction 243 billion naira in 91-day bills, 198 billion in 182day and 689 billion in 364day debt. The central bank sells treasury bills twice a month to help fund the government’s budget deficit and support commercial banks in managing liquidity. Nigeria expects a 2.36 trillion naira budget deficit for 2017, with half of it funded through domestic borrowings.

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