By Boluwatife Oshadiya | March 9, 2026
Key Points
- Nigerian Treasury bill yields rise 11 basis points week-on-week to 17.46% in secondary market trading
- Investors react to higher stop rates at the Central Bank of Nigeria’s latest auction
- Mid- and long-tenor instruments record the strongest sell-offs along the naira yield curve
Main Story
Yields on Nigerian Treasury bills climbed in the secondary market last week as investors reduced holdings following higher spot rates set at the latest Central Bank of Nigeria auction.
Fixed-income market data shows the average Treasury bill yield rose by 11 basis points week-on-week to 17.46 percent by the close of trading on Friday.
The increase followed adjustments in pricing at the Central Bank’s midweek primary auction, where both short- and long-dated instruments cleared at higher stop rates, prompting bearish sentiment across the naira yield curve.
According to market analysts at Cowry Asset Management Limited, the most pronounced selling pressure was recorded in the mid-tenor segment, where yields rose by about 5 basis points, while the long end of the curve expanded by roughly 22 basis points.
At the auction itself, the Central Bank offered ₦1.05 trillion worth of Treasury bills across standard maturities. Investor demand remained strong, with total subscriptions reaching ₦2.3 trillion, more than double the offer.
Final allotments were set at ₦1.0 trillion, reflecting the regulator’s liquidity management strategy.
Compared with the previous auction, stop rates for the 91-day and 364-day instruments increased to 15.95 percent and 19.73 percent, up from 15.80 percent and 15.90 percent, respectively. The 182-day tenor held steady at 16.65 percent.
Separately, the Central Bank also conducted an Open Market Operations (OMO) auction, offering ₦600 billion across 7-day, 98-day and 105-day maturities.
Total subscriptions reached ₦711.9 billion, though the apex bank allotted a more conservative ₦236 billion, with stop rates clearing at 19.35 percent for the 98-day instrument and 19.40 percent for the 105-day tenor.
What’s Being Said
“The repricing at the primary auction triggered profit-taking in the secondary market as investors reposition portfolios around the new yield environment,” analysts at Cowry Asset Management Limited said in a market note.
“Higher stop rates are reinforcing the attractiveness of Treasury bills for investors seeking relatively low-risk returns,” the firm added.
What’s Next
- Market participants will monitor the next Treasury bill auction cycle for further signals on the Central Bank’s rate direction
- Liquidity conditions in the banking system may influence investor demand in upcoming primary market offerings
- Analysts expect yields to remain elevated if monetary authorities maintain tight liquidity management.
