Economy
Access Bank to List N15bn Green Bond on Luxembourg Stock Exchange
By Modupe Gbadeyanka
Top Nigerian financial institution, Access Bank Plc, has announced its intention to list its N15 billion 15.50 percent fixed rate unsecured climate-credential green bond with five-year maturity on the Luxembourg Stock Exchange (LuxSE).
In January 2019, there were reports that the tier-one lender was planning to sell the climate-friendly bonds worth N150 billion by 2021, with the first tranche of N15 billion to be issued in the first quarter of 2019.
But while reacting to the matter in a notice to the Nigerian Stock Exchange (NSE), the financial institution confirmed then that it was considering to issue the N15 billion green bonds, but remained silent on the reported N150 billion.
Two months later, in March 2019, the bank sold the N15 billion worth of the green bonds to investors at 15.50 percent for a 5-year tenor.
The green bonds were awarded an Aa- rating by Agusto & Co and certified by the Climate Bonds Initiative, having met the global climate bonds standard.
The N15 billion senior unsecured green bonds were subsequently listed on the trading floors of the Nigerian Stock Exchange (NSE) and the FMDQ OTC Securities by Access Bank.
“Dealing members are hereby notified that Access Bank Plc’s N15,000,000,000, 5-Year 15.5% Fixed Rate Senior Unsecured Green Bonds due 2024, issued by way of Book Building to qualified institutional investors and high net worth individuals, were today, Tuesday, April 2, 2019 listed on the exchange,” the notice from the NSE last April had said.
Today, Monday, February 10, 2020, Access Bank released a statement to the stock exchange, informing the investing community that it was has applied to list the same green bonds on the LuxSE, but stressed that the paper will not be traded on that European nation’s stock exchange.
“Access Bank Plc wishes to notify the Nigerian Stock Exchange and the investing public that the bank has applied to the Luxembourg Stock Exchange (LuxSE) for the admission of the above memtioned instrument on the official list of LuxSE.
“Please note that the bonds will not be traded on LuxSE,” the short notice issued by the financial institution stated.
Business Post recalls that in June 2018, Access Bank launched the Nigerian Green Bond Market Development Programme in partnership with FMDQ and the Securities and Exchange Commission (SEC).
In October 2019, during the annual meeting of the World Federation of Exchanges in Singapore, the NSE and LuxSE signed a Memorandum of Understanding (MoU) to promote the cross listing and trading of green bonds in Nigeria and Luxembourg.
The Luxembourg Stock Exchange operates the Luxembourg Green Exchange (LGX), a platform exclusively dedicated to sustainable finance instruments.
LGX now holds a 50 percent global market share of listed green, social and sustainability bonds. LuxSE works closely with selected stock exchanges around the world to support the growth of sustainable finance.
By Aduragbemi Omiyale
The Debt Management Office (DMO) on Monday allotted bonds worth N929.3 billion to investors from the N1.7 trillion bids it received from subscribers.
The exercise, which took place on Monday, July 20, 2026, was oversubscribed by market participants, reflecting the confidence investors have in the government’s ability to redeem the debt instrument on maturity.
On offer for sale for the July auction was N1.2 trillion worth of the FGN bonds, but the DMO allotted below this, despite receiving bids above the offer.
The papers were offered in 10-year, 15-year, and 20-year tenors, at N400 billion each.
For the decade-old note, investors staked N444.47 billion, but the debt office sold N245.73 billion at an 18.34 per cent coupon rate. For the one and a half-decade-old paper, bids valued at N518.00 billion were received by the DMO, with a non-competitive bid of N50.00 billion, with N302.13 billion allotted to investors at 18.40 per cent, and for the two-decade paper, the DMO got competitive bids of N665.19 billion and N381.46 billion was sold to bondholders at 18.35 per cent.
By Adedapo Adesanya
The Governor of the Central Bank of Nigeria (CBN), Mr Yemi Cardoso, disclosed that Nigeria’s external reserves had risen to $52.5 billion, enough to finance about nine months of imports.
He disclosed this on Tuesday at the end of the 306th meeting of the Monetary Policy Committee (MPC) held in Abuja, where the Monetary Policy Committee (MPC) retained the benchmark interest rate at 26.50 per cent as well as the standing facilities corridor at +50/-450 basis points around the MPR.
Similarly, the Cash Reserve Requirement (CRR) was maintained at 45 per cent for Deposit Money Banks, 16 per cent for Merchant Banks, and 75 per cent for non-Treasury Single Account (TSA) public sector deposits.
Speaking on FX developments, the central banker said at the $52 billion level, the country’s external reserves were significantly above the internationally recommended threshold of three months of import cover.
On the Naira exchange rate, Mr Cardoso said the foreign exchange market had deepened and was now operating on a transparent willing-buyer, willing-seller basis.
He said the apex bank remained committed to maintaining a liquid and functional foreign exchange market, adding that daily market turnover sometimes exceeded $1 billion.
According to him, the long-term stability of the naira would depend on key economic fundamentals, including increased oil exports, foreign direct investment, and improved domestic productivity to reduce dependence on imports.
He also added that the MPC welcomed the federal government’s renewed commitment to stronger policy coordination, particularly collaboration between fiscal and monetary authorities, which he said had helped reduce the impact of the Middle East crisis on the Nigerian economy.
Mr Cardoso said members of the committee also commended efforts to improve crude oil production and urged relevant agencies to intensify reforms in other sectors, including solid minerals, to boost government revenue.
On the regulatory forbearance granted to banks during the COVID-19 period, he reiterated that this had been discontinued because it had served its purpose.
According to him, the policy had “outlived its time” and was no longer necessary in assessing the health of the banking sector.
“Forbearance, we felt, had outlived its time. Many of you will recall this is something that came as a result of COVID. And now we are in 2026; we did not see the reason why that should continue to form part of the analysis of the banking system,” he said.
Mr Cardoso explained that banks had begun recalibrating their portfolios following the end of the policy, leading to a temporary reduction in outstanding risk assets.
He, however, assured that the development was part of a transition towards a stronger and more sustainable credit environment.
“It reflects a transition to a more sustainable and better quality credit environment, which is what we all want. We don’t want unanticipated shocks that come in a boom-and-bust fashion,” he said.
By Adedapo Adesanya
The NASD Over-the-Counter (OTC) Securities Exchange extended its recent positive run by 1.17 per cent on Tuesday, July 21, triggered by appreciation seen in four bellwethers.
Leading the pack was FrieslandCampina Wamco Nigeria Plc, which added N12.00 to its value to close at N153.15 per share compared with the previous day’s N141.15 per share. NASD Plc appreciated by N1.90 to N36.00 per unit from N34.10 per unit, Food Concepts Plc improved by 23 Kobo to N2.48 per share from N2.25 per share, and Afriland Properties Plc grew by a marginal 1 Kobo to N15.01 per unit from N15.00 per unit.
As a result, the market capitalisation of the bourse increased by N30.40 billion to N2.637 trillion from Monday’s N2.606 trillion, and the NASD Security Index (NSI) gained 50.70 points to finish at 4,393.97 points, in contrast to the 4,343.27 points it ended a day earlier.
The unlisted securities exchange recorded a price loser yesterday, and it was Geo-Fluids Plc, which shed 1 Kobo to settle at N2.30 per share versus N2.31 per share.
During the trading day, the volume of securities traded by market participants on Tuesday dropped 99.4 per cent to 322,147 units from the previous day’s 52.6 million units, the value of securities dipped by 89.8 per cent to N19.4 million from the preceding session’s N191.2 million, and the number of deals contracted by 3.6 per cent to 27 deals from 28 deals.
Great Nigeria Insurance (GNI) Plc ended the day as the most traded stock by value on a year-to-date basis, with 3.4 billion units traded for N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units transacted for N6.5 billion, and Central Securities Clearing System (CSCS) Plc with 75.4 million units exchanged for N5.3 billion.
GNI Plc also closed the day as the most traded stock by volume on a year-to-date basis, with 3.4 billion units worth N8.4 billion, followed by Infracredit Plc with 2.3 billion units valued at N6.5 billion, and Resourcery Plc with 1.1 billion units sold for N415.7 million.
