- Says the appointment of Transaction Advisers by the DMO is done in accordance with the provisions of the Public Procurement Act, 2007 and is subject to the approval of the Federal Executive Council
The Debt Management Office (DMO) has debunked claims that the Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun’s company has secured a Transaction Adviser deal for the next Eurobond.
According to the statement by the agency, the report by some media platforms that Mr Edun’s Chapelhill has been selected for the transaction was incorrect.
The statement reads in full, “The Debt Management Office (DMO) would like to clarify that recent news reports suggesting the appointment of Transaction Advisers for a potential Eurobond issuance are inaccurate.
“The appointment of Transaction Advisers by the DMO is done in accordance with the provisions of the Public Procurement Act, 2007 and is subject to the approval of the Federal Executive Council (FEC).
“Also, the Issuance of Eurobonds by the Federal Government of Nigeria in the International Capital Market is subject to the approval of the FEC and receipt of the Resolution of the National Assembly (NASS) in accordance with the provisions of the Fiscal Responsibilities Act, 2007 and Debt Management Office (Establishment, Etc.) Act, 2003. Currently, the DMO has not received the requisite approvals from the FEC and Resolution of the NASS for any Eurobond Issuance.
“We encourage the public to rely on official statements from the DMO for accurate updates on Nigeria’s debt management activities.”
It was reported that Chapelhill would receive $1 billion as fee for acting as Transaction Adviser in the deal.
Chapelhill was one of the five Transaction Advisers appointed by the federal government in 2021 for the issuance of Eurobonds.
With that group, DMO was able to raise $5.25 billion through Eurobonds. It was learnt that the appointment was for 2 years and has expired. The appointments are approved by FEC and FEC has neither considered nor approved their reappointment.
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