Nigeria’s Dollar bonds suffered the biggest losses in emerging markets on Monday after threats by US President Donald Trump.
The American President threatened military action in the country if the Bola Tinubu-led government doesn’t halt the killings of Christians by Islamist militants.
According to Bloomberg, Nigerian Dollar bonds fell across the maturity curve, comprising all 10 of the worst performers in emerging markets worldwide as of 9:50 a.m. in Lagos.
It added that the notes maturing in 2047 were down most, falling 0.6 cents on the Dollar to 88.26 cents.
In a post Saturday on Truth Social, President Trump said he had instructing the US Defense Department “to prepare for possible action” and threatened an immediate cutoff in aid and assistance to Nigeria.
President Tinubu has since rejected Mr Trump’s characterization of the country, saying he was disregarding “the consistent and sincere efforts of the government to safeguard freedom of religion and beliefs for all Nigerians.”
This came after President Trump last week declared Nigeria a “Country of Particular Concern” because of the “existential threat” posed to its Christian population.
This is a designation used by the US State Department that provides for sanctions against countries “engaged in severe violations of religious freedom”.
Following this announcement, President Tinubu said his government was committed to working with the US and the international community to protect communities of all faiths.
“The characterisation of Nigeria as religiously intolerant does not reflect our national reality,” the Nigerian leader said in a statement.
Special Adviser to President Tinubu on Policy Communication, Mr Daniel Bwala, has said the two presidents will meet over the recent claims.
The meeting is expected to happen “in the coming days.”
“President Trump has assisted Nigeria a lot by authorising the sale of arms to Nigeria, and President Tinubu has adequately utilised the opportunity in the fight against terrorism, for which we have massive results to show,” Mr Bwala claimed.