Corporate Nigeria increasingly turned to short-term debt instruments in 2025, with the Securities and Exchange Commission (SEC) approving commercial paper programmes totalling ₦1.37 trillion as of October 23.
Okay News reports that actual issuances stood at approximately ₦753 billion, representing a utilisation rate of about 54 per cent across multiple series and tranches.
The gap between approved limits and drawdowns indicates issuers are adopting a phased, cautious approach to tapping the commercial paper market.
Activity remained heavily concentrated among large corporates, with Dangote Sugar Refinery Plc, a subsidiary of the Dangote Group led by Africa’s richest businessman Aliko Dangote, dominating the landscape.
The company accounted for over 45 per cent of total issuances, raising more than ₦300 billion under its ₦300 billion programme through multiple series.
Other notable participants included agribusiness firm Johnvents Industries Limited, which raised ₦52.6 billion, and diversified conglomerate UAC Nigeria Plc, issuing ₦45 billion.
In the financial sector, Citibank Nigeria Limited drew ₦26.7 billion despite a large approved programme, while fintech player Payaza Africa Limited raised nearly ₦43 billion.
Maturities were predominantly short-term, clustered between December 2025 and mid-2026, underscoring the use of commercial papers for working capital and liquidity management.
The surge reflects corporates seeking alternatives to expensive bank loans amid elevated interest rates following the Central Bank of Nigeria’s monetary policy rate at 27 per cent.
Analysts anticipate continued strong activity into 2026, supported by a robust pipeline of undrawn approvals, provided borrowing costs remain high.
 approving commercial paper programmes totalling ₦1.37 trillion as of October 23.){kind=link}