CBN Allots N2.2tn OMO Bills to Match Banks, Foreign Investors Demand
Deposit Money Banks (DMBs), foreign portfolio investors (FPIs) chased Nigerian OMO bills with total subscription of N2.2 trillion, surpassing the offer size.
The Central Bank of Nigeria (CBN) floated another OMO bill auction on Tuesday after raising N2.52 trillion on Monday from 141-day tenors priced at 20.10%.
The CBN offered two shorter tenors, 112- and 133 -Day OMO bills worth N300 billion each for investors’ subscription at the second OMO auction.
The total auction offer totalling N600 billion attracted N2.712 trillion in subscription money from eligible market participants. The CBN allotted the total amount of bids submitted to reduce the excess liquidity level in the money market.
MarketForces Africa reported that the financial system was flooded with a high credit balance of N5.5 trillion as local deposit money banks stepped up placement at the CBN’s standing deposit facility.
OMO bills maturing on November 24 2026, attracted 20.35%, while the spot rate for the short-term money market instrument expiring on December 15, 2026, was priced at 20.25%.
Nigeria Inflation Eases but Rising Food Costs Put Markets on Alert
