Proceeds from the unbundling of the Power Holding Company of Nigeria (PHCN) which amounts to about N300 billion have been allocated for severance payments of PHCN employees.
 A report monitored in Lagos, quoted the Investment Arm of First Bank of Nigeria however notes that full provision for which the amount is being allocated to the retiring workers was not made in the 2013 budget. 
“It is unclear, therefore, whether they will be treated as asset sales for deficit financing”, it said.
This is as the Debt Management office (DMO) Thursday concluded plans to issue between N135-N235 billion, that is the equivalent of between $843.49 million and $1.47 billion in sovereign bonds. 
The bonds are expected to mature in August 2016 and July 2030 in the fourth quarter of the year. 
   The amount being proposed is within the volume of actual debt issuance in the third quarter, totalling 203.78 billion naira. 
   Latest date released by the DMO showed that it plans to auction between 45-80 billion naira each in 3-year and 20-year paper on October 16 and November 13, respectively, while the debt office will issue 45-75 billion naira of the same maturities on December 11. 
   All the bonds were re-openings of previous issues.
FBN Capital in a research note stated that  the DMO has raised N704bn (gross) from the auction of bonds in the first nine months. Domestic financing (net) for the full year is projected at N577bn in the 2013 budget, and the deficit at N887 billion.
Figures from the CBN indicate that the FGN deficit for the half year of 2013, at N627bn, was running well ahead of budget.