Yields on Nigerian bonds seen falling

 Nigeria's bond yields are expected to witness increased buying, especially by local pension funds, that could lead to a drop in yields by around 20 basis points, traders said.
    Yields rose across maturities this week on a sell-off by some offshore investors on concerns on new foreign exchange restrictions by the central bank aimed at conserving its dwindling foreign exchange reserves, traders said.
    Traders said the new measures had spurred a sell-off by some offshore investors on concerns they could hinder capital repatriation. The rules curb access to forex to fund purchase of foreign shares and bonds, among others.
    "We expect to see a moderate fall in yields across all tenor next week due to increase liquidity from budget allocation and remittance to pension funds by the government," one dealer said.
    The yield on the benchmark debt maturing in 2024 rose to 14.28 percent on Friday from 13.82 percent a week ago.
    The 2022 paper yield climbed to 14.48 percent from 13.93 percent, while the 2016 debt advanced to 14.39 percent against 13.83 percent last week.