The Central Bank of Nigeria (CBN) adjusted spot rates on Nigerian Treasury Bills at its midweek primary market auction, raising yields on short- and long-tenor instruments while leaving the mid-tenor unchanged.
The apex bank offered ₦230 billion across the standard maturities of 91-day, 182-day, and 364-day bills to roll over maturing papers. Subscription levels were strong, with total demand hitting ₦396.42 billion, representing 1.72 times the amount on offer.
Investor appetite was heavily skewed towards the 364-day bills, which drew ₦356.18 billion in subscriptions against an offer size of ₦150 billion. Demand for the shorter papers was weaker, with 91-day bills undersubscribed at ₦10.9 billion versus the ₦50 billion offered, while the 182-day bills attracted ₦29.35 billion against a ₦30 billion offer.
In terms of allotment, the CBN sold ₦7.70 billion of the 91-day paper at a yield of 15.35%, up 35 basis points from 15% at the previous auction. The 182-day bills were allotted at ₦27.70 billion, with the yield unchanged at 15.50%. For the 364-day tenor, ₦268.38 billion was allotted at a yield of 17.44%, reflecting a sharp 94-basis-point increase from 16.50% at the last auction.
The results highlight the apex bank’s continued bid to manage liquidity and tame inflationary pressures through selective adjustments to Treasury bill rates.
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