In a last ditch attempt by the central bank to get more investors to switch their investments to the GC26 Bond, only N$141.9 million of the available N$1.9 billion was switched.
This means there is a number of institutional and individual investors who have decided not to switch their money to other long-term bonds at the interest offered by the central bank. As a result, the government will have to fork out N$1.7 billion by 25 April, as that is when it is meant to reimburse investors.
The government relies on switching auctions to convince investors to move their money to long-term investments to reduce the redemption amount upon maturity. Through a switch auction on 25 February 2026, the central bank invited investors to switch to the GC26 before maturity in April 2026.
