The DMO announced the bond auction, listing the first offer as a N90 billion February 2028 FGN bond with a 13.98 percent annual interest rate (10-year reopening).

The second is a N90 billion April 2032 FGN bond with an annual interest rate of 12.50 percent (10-year reopening).

There is also a N90 billion April 2037 FGN bond with a 16.24 percent annual interest rate (20-year reopening).

The fourth offer is an April 2049 FGN bond, also valued at N90 billion, at an interest rate of 14.80 percent per annum (30-year re-opening).

It announced that the auction date is February 13, while the settlement date is February 15.

According to the DMO, for the re-opening of previously issued bonds, successful bidders will pay a price corresponding to the yield-to-maturity bid that clears the volume being auctioned plus any accrued interest on the instrument.

“Interest is payable semi-annually, while bullet repayment (principal sum) is on the maturity date.

“FGN bonds are backed by the full faith and credit of the Federal Government of Nigeria and are charged upon the general assets of Nigeria.

“They qualify as securities in which trustees can invest under the Trustee Investment Act.

“They also qualify as government securities within the meaning of the Company Income Tax Act and Personal Income Tax Act for tax exemption for funds among other investors.

“They are listed on the Nigerian Exchange Limited and FMDQ OTC Securities Exchange,’’ the DMO said.

The post FG Lists N360 billion in Bonds for Auction appeared first on Tech | Business | Economy.

This, the Commission said in a statement signed by Mr. Reuben Muoka, the Director Public Affairs, is meant to boost competition among players in the industry.

NCC said the move is in line with Section 121 of the Nigerian Communications Act 2003 (the Act) which bequeaths it with the responsibility to manage and administer Spectrum resources for the communications sector in an efficient and effective manner.

“This is for the socio-economic benefit of the country”.

“Accordingly, it is the Commission’s responsibility, as the industry regulator, to ensure that harmonized and standardized Spectrum resources are made available in a timely manner to ensure its optimal utilization. The impact of the Commission’s regulatory activities in this regard is evident in the contribution of ICT, and telecommunications in particular, to the Gross Domestic Product (GDP) of the country.

“The Act allows available Spectrum resources to be licensed through different methods. Spectrum licensing via Auction is one of the most transparent methods of assigning Spectrum resources globally. It is important to note that the Commission in response to requests for more Spectrum lots to be made available during the 2021 Stakeholders’ engagement had estimated a period of 24 months to clear all encumbrances in the remaining two (2) lots of the 3.5GHz band”, the statement reads.

The Information Memorandum that guided the 2021 Auction process further stated the Commission’s intention to migrate incumbent users of the remaining portion of the C-band to free up Spectrum and make it available for the deployment of new services.

“The Commission has achieved the clearance earlier than estimated 24 months, thus making the Spectrum available for licensing.

“The Commission wishes to reiterate that as a regulatory body holding in trust the management and administration of scarce spectrum resources on behalf of Federal government that it will continue to make available, the much needed harmonized and standardized Spectrum resources to the industry.

“The Auction is designed to boost competition by making it open to both new entrants as well as existing licensees.

“We, therefore, wish to reassure all stakeholders and investors, that the processes and schedule for the Auction of two (2) lots of 3.5GHz Spectrum will take place as planned.

“The final Information Memorandum for the Auction has been published on the Commission’s website.

Interested applicants are advised to adhere to the requirements as specified in the Information Memorandum for participation in the Auction”, the statement clarifies.

The post Auction of Two Slots of 3.5GHz Spectrum Meant to Boost Competition – NCC appeared first on Tech | Business | Economy.