The average yield fell as trading in Nigerian Treasury bills finished on a positive note in the secondary market due to investors boosting their wagers on naira assets.
The buying trend continued even as fixed interest securities investors focused on the Debt Management Office’s (DMO) main market auction (PMA) on behalf of the Central Bank.
In a separate report, dealers said that the average yield on Treasury instruments fell 6 basis points in the secondary market to 22.87%. The Treasury bill market showed increasing buying activity in specific maturities, particularly the April 2025 and September 2025 papers.
Analysts at Cordros Capital Limited explained that the average yield declined at the short (-1 bp) and long (-25 bp) ends. The yield contraction witnessed across the curve was driven by buying interest in the 92-day to maturity, which shed 2 bps. The buying interest in 351-day to maturity bills caused its yield line to slump by 69 basis points, traders said.
Meanwhile, the average yield advanced at the belly of the curve by +24bps following profit-taking activities on the 134-day to maturity. Elsewhere, the average yield contracted by 2bps to 24.5% in the OMO bills segment in the secondary market.
Key money market rates, such as the Open Repo Rate (OPR) and the Overnight Lending Rate (O/N), declined by 0.49% and 0.56% to finish at 31.90% and 32.25%, respectively.
Nigerian Interbank Treasury Bills True Yield experienced downward movement across all maturities, while the average secondary market yield on T-bills slightly eased by 0.06%, settling at 22.87%.
