Auction: Treasury Bills Worth N700bn Set for Subscription
The Central Bank of Nigeria (CBN) is now set to open N700 billion worth of local treasury bills for investors’ subscription on Wednesday. The CBN is scheduled to offer Nigerian Treasury bills with 91 days to maturity totalling N100 billion for subscription midweek.
At the belly of the curve, the authority will float treasury bills with 182 day bills totalling N150 billion for sales to investors, which include pension fund administrators, banks and other asset managers. The CBN will also float NGN450.00 billion for the 364 days bills.
Spot rates are expected to reduce at the auction due to sustained disinflation. The results of the previous auction revealed that the CBN kept all the spot rates unchanged even after the disinflation notice.
91 days bills was priced at 15.30%, 182 days was sold to investors at 15.50%, and 364 bill attracted 16.04%. In the secondary market, the market observed yield expand at the long end of the curve, specifically on the 05-NOV (+47 bps) and 19-NOV (+33 bps) bills.
Meanwhile, yield contracted at the mid-segment, following demand for the 05-MAR (-27 bps) and 07-MAY (-20 bps). Consequently, the average yield inched higher by 1 bp to 16.83%. # Auction: Treasury Bills Worth N700bn Set for Subscription Zenith Bank Sees Slight Gain on Huge Trading Volume
