Nigerian Treasury Bills sales by CBN yielded N15.2 trn in 2025

The sum of N15.2 trillion was realized by Central Bank of Nigeria from the bi-weekly sales of Treasury Bills via primary market auctions conducted in 2025 as part of an effort to support government short-term borrowing and liquidity management.

Out of this amount, new borrowing was N1.50 trillion, according to Meristem Securities Limited, which said that the remaining amount was used to refinance the amount of Treasury bills that matured in the same year.

The amount is the lowest in three years. In 2024, the Apex Bank net inflow from Treasury bills sales was N5.85 trillion after expired bills were refinance from N13.4 trillion total allotment.

The average yield on Nigerian Treasury bills declined slightly to 17.72% as investors boosted their holding ahead of fresh government borrowing in 2026.

The yield contraction was as a result of investors positioning in the short and belly of the curve in the secondary market after showing interest in long tenor at the main auction.

The market traded mixed for the week with balanced demand. At the start of the week, trading was largely flat across the curve, with most maturities closing unchanged as investors traded cautiously resulting in minimal repricing across short- and mid-tenor bills.

By Tuesday, trading remained subdued at the short end, with rates across short- and mid-tenor bills closing flat amid cautious positioning.

In contrast, long-dated bills attracted demand, led by the 03-Dec-26 which declined by 69bps to 16.20%, alongside yield compression on the 17-Dec-26 and 10-Dec-26 papers.

Toward the close of the week, trading remained subdued, with yields across most maturities holding steady and only marginal adjustments observed at the long end, as investors maintained cautious, light positioning amid muted market activity.

Overall, the market ended the period with a mild downward bias, as the average benchmark yield fell 4bps. Market is anticipated to trade in line with the available system liquidity.