Adeosun late implemention of 2016 budget caused eurobond delay
A very specific and interesting topic!
Yes, it is true that the late implementation of the 2016 budget in Nigeria caused a delay in the issuance of the Eurobond. Here's a brief background:
In 2016, the Nigerian government planned to issue a $1 billion Eurobond to raise funds for its budget and infrastructure development. The issuance was initially scheduled for the first quarter of 2016. However, the government's failure to pass the 2016 budget on time led to a delay in the Eurobond issuance.
The 2016 budget was initially presented to the National Assembly in December 2015, but it was not passed until May 2016. This delay was attributed to disagreements between the executive and legislative arms of government over the budget's content and funding.
As a result of the budget delay, the Eurobond issuance was pushed back to the second quarter of 2016. The Nigerian government eventually issued the Eurobond in June 2016, with a 10-year tenure and a coupon rate of 7.875%.
The delay in the Eurobond issuance was seen as a setback for the Nigerian government's efforts to raise funds for its budget and infrastructure development. The government had planned to use the funds raised from the Eurobond to finance its budget deficit and invest in key infrastructure projects, such as power and transportation.
In summary, the late implementation of the 2016 budget in Nigeria caused a delay in the issuance of the Eurobond, which was initially scheduled for the first quarter of 2016. The delay was attributed to disagreements between the executive and legislative arms of government over the budget's content and funding.