CBN to offer N162bn worth of Treasury Bills in upcoming auction
BY TEMITOPE ADEBAYO
The Central Bank of Nigeria (CBN) is set to hold a primary market auction next Wednesday, offering N162.018 billion worth of Treasury bills for investors’ subscription across standard tenors.
This move aims to absorb N27 billion worth of maturing Nigerian Treasury bills. Analysts expect the discount rate to ease due to strong liquidity levels in the financial system and anticipated disinflation in the first half of 2025. Cordros Capital Limited predicts rates will slightly taper at the auction.
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The market has seen fluctuating spot rates as investors favor long-duration assets. Yields on Nigerian Treasury bills have decreased due to rising demand for naira assets. Strong liquidity levels continue to limit rate increases, and positive returns on investment have boosted demand.
The Nigerian Treasury Bills market traded lightly throughout the week, with limited interest in OMO and NTB maturities.
Meanwhile, investors are now shifting focus to the upcoming auction, where the CBN will offer N162.018 billion across 91, 182, and 364-day tenors.
