Nigeria’s dollar bonds were higher by over 2% across the curve after the ruling-party candidate Bola Tinubu took an early lead in the presidential election tally. This was considered a positive news for the market as Tinubu is set to make reforms to pull Nigeria out of its financial situation. The vote count is ongoing and currently shows that Tinubu is leading in three key states. Tinubu is expected boost revenues, stabilize the naira and cut down sovereign debt, and that he could undertake these reforms faster than other candidates. JPMorgan data shows that the sovereign-risk premium also narrowed 42bp to 723bp yesterday, with a 104bp drop in the last three days.
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