19 December 2025 —The Office of the Special Adviser to the President on Energy welcomes the issuance of the first bond under the Presidential Power Sector Debt Reduction Programme.
Issued by NBET Finance Company Plc, a Special Purpose Vehicle (“SPV”) of the Nigerian Bulk Electricity Trading (NBET) Plc, the ₦590 billion Series 1 Power Sector Bond is guaranteed by the full faith and credit of the Federal Government of Nigeria. CardinalStone Partners Limited is the Lead Financial Adviser and Lead Issuing House.
This marks the commencement of the first phase of the bond issuance, which aims to raise 1.23 trillion Naira by the first quarter of 2026, for the payment of verified arrears owed to generation companies and gas suppliers.
The Presidential Power Sector Debt Reduction Programme authorises the issuance of up to 4 trillion Naira in government-backed bonds to address a legacy debt overhang that has constrained new investment, weakened utility balance sheets, and hindered reliable power delivery. It has been described as the largest coordinated financial intervention in the history of Nigeria’s power sector.
“This is not a bailout; it is a strategic reset, one that clears verified arrears, restores liquidity, and gives power generation companies the footing they require to operate and invest with confidence,” said the Special Adviser to the President on Energy, Olu Arowolo Verheijen, in her remarks at a Forum held for prospective investors on Wednesday, 10 December. “Clearing the debt will create breathing room for operators to stabilise operations and plan new investments that will help deliver more power to Nigerians.”
Presidential Power Sector Debt Reduction Programme Timeline:
August 2025: Presidential Power Sector Debt Reduction Programme approved by President Tinubu and endorsed by the Federal Executive Council (FEC); authorising the issuance of up to 4 trillion Naira in government-backed bonds.
December 2025: Inaugural Investor Forum held to present bond issuance programme to over 600 participants drawn from banks, pension funds, insurance companies, issuing houses, asset managers, family offices, trustees, and other institutional investors.
December 2025: Launch of the 590 billion Naira Series 1 Power Sector Bond Issue under a 4 trillion Naira Multi-Instrument Issuance Programme
2026: Bond Issuance programme continues.
For more information on the Presidential Power Sector Debt Reduction Programme, and to see the term sheet, visit: https://www.energyreforms.ng/power-sector-bond
Signed
Senan Murray
Team Lead, Communications
Office of the Special Adviser to the President on Energy
Abuja, Nigeria
19 December 2025
