Author: Julius Alagbe

CBN Raises N1.205trn from OMO, Treasury Bills, Rejects Bids The Central Bank of Nigeria (CBN) raised N1.205 trillion from open market operation and Nigerian Treasury bills auctioned to investors, according to update obtained by MarketForces Africa. The authority floated OMO bills for subscription last week Tuesday followed with Treasury bills auction on Wednesday. At the mid-week Treasury bills auction, the CBN offered N480.00 billion across the Nigerian Treasury bills with 91 days, 182 days, and 364 days maturities. These offers attracted strong subscription of N1.01 trillion, which translated to a bid-to-offer ratio of 2.1x, up from 1.7x at the prior…

Naira Outlook Positive, Banks Buy Dollar from Customers at N1,480 The naira exchange rate outlook has remained positive across foreign currency market as local deposit money banks buy dollar from customers at N1,480. International payment transactions with naira debit card were consummated at the average of N1,530, based on fx payments conducted across channels. A growing numbers of investment banking firm are bullish on the naira outlook, citing sustained FX interventions and growing external reserves as buffer for the local currency to thrive.  FX market witnessed stronger performance for the naira across key trading segment on the back of strong…

Naira Touched N1,508 as Market Sees More than Enough FX Supply The naira touched an intraday low of N1,508 per U.S. dollar at the Nigerian foreign exchange market (NFEM) in the absence of significant demand for greenback, and strong foreign currency liquidity. The local currency stays strong, even Nigerian local deposit money banks’ naira debit card daily fx quote for international payments appreciated significantly this week, according to MarketForces Africa channel checks. At the official window, the naira closed the last trading session at N1,514.8671 per dollar, N1,531.5703 at the beginning of the week, reflecting sufficient US dollar volume in…

Naira Exchange Rate Appreciates as CBN Sells Dollar The naira exchange rate appreciated to N1,514 at the official foreign currency market, supported by strong US dollar supply, supported by latest round of FX intervention. Data from the Central Bank of Nigeria (CBN) revealed that spot rate closed at N1514.8671 on Thursday, from N1521.4569 the previous day. The naira strengthened in the absence of significant US dollar demand pressures, reflecting the latest FX intervention boost by the authority.   The CBN auctioned $15 million to authorised dealer banks to damp FX demand pressure amidst growing external reserves. Updated data from the CBN…

Equity Investors Gain N521bn as Nigerian Bourse Stops Losses The equity investors gained N512 billion on the Nigerian Exchange (NGX) as the local bourse stopped three straight days of losses that plunged key performance indicators down. The market closed on a positive note ahead of the Eid -ul Mawlid holiday, as key market performance indicators advanced by 0.60% on Thursday. The NGX recovery was supported by renewed buying interest in recently moderated medium and large cap stocks, such as ELLAHLAKES, HONYFLOUR, AIICO, TRANSCORP, among others across major sectors. Specifically, the All-share index added 823.67 basis points to close at 138,980.83.…

CBN Reprices Interest Rates on Nigerian Treasury Bills Details from the midweek primary market auction showed that the Central Bank of Nigeria (CBN) raised the spot rate on Nigerian Treasury bills maturing in one year by 25 basis points, following adjustments on short and long-dated bills. The authority floated N480 billion worth of Nigerian Treasury bills instruments across standard tenors at the primary market auction (PMA), with more than N1 trillion in aggregate subscription from yield hunting fixed interest securities investors. MarketForces Africa reported that the auction was conducted by the Debt Management Office (DMO) on behalf of the monetary…

NGX Index Dips Intraday as Investors Sell Banking Stock Banking stocks selloffs continue to drive down the Nigerian Exchange (NGX) All-share index (ASI), according to intraday trading data, the local bourse has declined by 14 basis points on Wednesday. The local bourse is trading negative, reflecting investors’ weak sentiment. The NGX has been trending downward since three weeks after previous monster rallies which broke key indexes into new highs. But the momentum is receding strongly in the absence of key market catalysts that could fuel a fresh rally in the stock market. Hence, some risk averse investors are rotating their…

Benchmark Yield Declines as Nigerian Government Bonds Rally The average yield on Federal Government of Nigeria (FGN) declined by 5 basis points (bps) as investors increased bets on the local bonds. Trading activities picked up as asset managers, portfolio investors sought to optimise their holdings. Trading activates reflects investors expectation of yield repricing after a surprise adjustment made by the Debt Office in August primary market auction amidst improved macroeconomic conditions. The authority raised bonds supply at the auction, and spot rates were adjusted upward, in contrast to market expectation. This happened despite sustained disinflation, which has widened real interest…

Money Market Rates Surge as CBN Tightens Liquidity Money market rates rose ahead of Nigerian Treasury bills auction scheduled for Wednesday as activity of the Central Bank of Nigeria (CBN) tightened liquidity in the financial system. The interbank market remained highly liquid following ₦459 billion in OMO maturity inflows. The liquidity level in the financial system closed stronger, settling at N1.470 trillion on Wednesday. To absorb excess liquidity in the financial system, the CBN offered ₦600 billion in a short-dated OMO auction. The open market operations attracted ₦1.179 trillion in subscriptions and the allotted OMO bills worth ₦620.65 billion to…

UBA, Mastercard Launch Prepaid Card to Promote Financial Inclusion Africa’s Global Bank, United Bank for Africa (UBA) Plc, in collaboration with Mastercard, announced the launch of the Mastercard prepaid card to further accelerate financial inclusion and expand access to digital payment solutions across Africa. The card, which does not require a traditional bank account, is designed to serve individuals who have historically lacked access to formal financial services, particularly young adults, gig workers, and low-income earners. It enables users to top up funds easily, transact both locally and internationally, and manage spending with flexibility and security. With more than 28.9…