Yields on Nigeria's local debt are seen falling further next week, with renewed appetite from both local and offshore investors and increased liquidity from maturing bonds.
Nigerian bonds market has seen increase demand after a peaceful general election spurring interest from local investors and foreign investors.
"The market was all bullish from a range of interest by investors taking position after the successful election," one dealer said.
Traders said market could get a liquidity boost from maturing April 2015 bonds next Thursday, raising demand for local debt as holders are likely to reinvest in the market.
Nigeria raised 70 billion naira ($352 million) at lower yields across all tenors at a bond sale this week.
Yields at the secondary market have fallen across the maturities with the 2016 paper down to 14.06 percent from 14.96 percent last week, while the yield on the 2022 debt fell to 14.02 percent against 14.87 percent. The yield on the 2024 debt traded at 13.91 percent from 14.81 percent.
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