The interest rate on Nigerian Treasury bills with a 364-day tenor declined again at the primary market auction held on Wednesday by the monetary authorities.
The Debt Management Office (DMO), acting on behalf of the Central Bank of Nigeria (CBN), offered ₦275.71 billion across standard maturities to investors during the auction.
Investors showed strong interest, subscribing a total of ₦907.85 billion across 91-day, 182-day, and 364-day maturities, according to auction results. The 364-day bills remained the most attractive option, commanding 98% of the total subscriptions.
The overall bid-to-cover ratio stood at 3.29x, slightly lower than the previous auction’s 4.37x. This significant demand allowed the DMO to increase its allotment, ultimately selling ₦527.84 billion—91% higher than the initial offering. Of the total allotment, 97% went to the 364-day paper at a lower spot rate.
The stop rate for the 364-day bills dropped further to 22.80%, while rates for the 91-day and 182-day bills remained unchanged for the fourth consecutive auction, according to a note from TrustBanc Financial Group.
