CBN to auction N800bn Treasury Bills as N872bn matures

Central Bank of Nigeria (CBN), on behalf of the Debt Management Office (DMO), will offer N800 billion in Nigerian Treasury Bills (NTBs) for auction, November 4, 2026, as maturing securities exceed N872 billion.

According to an Invitation to Tender the offer covers the 91-day, 182-day and 364-day instruments, with the one-year bill accounting for the largest share. The auction comes amid substantial banking-system liquidity and follows the DMO’s decision to leave most investor bids unallotted at its previous Treasury Bills auction.

The N800 billion offer comprises N100 billion each for the 91-day and 182-day Treasury Bills and N600 billion for the 364-day instrument. The maturing securities comprise N67.677 billion in 182-day Treasury Bills and N804.869 billion in 364-day bills. The advertised offer is N72.546 billion below the amount scheduled to mature today.

Money Market Dealers are required to submit bids through the CBN S4 WEB INTERFACE between 8:00 a.m. and 11:00 a.m. on November 4. Allotment letters will be issued to successful bidders on November 5, with payment due by 11:00 a.m. that day. If the entire N800 billion offer is allotted, repayments will exceed fresh issuance by N72.546 billion, leaving a net repayment surplus before other liquidity movements.

However, the final liquidity effect will depend on the amount actually allotted, as the DMO may accept less than the advertised offer. The auction also comes after substantial OMO maturities, which have contributed to elevated liquidity within the banking system.

The latest one-year stop rate of 15.80% also remained below the 16.62% recorded at the September 9 auction. Banking-system liquidity remained substantial ahead of today’s Treasury Bills auction, providing a potential source of demand for government securities. The CBN financial data reported liquidity position exceeding N7.7 trillion at the close of business on November 3, following the settlement of N2.016 trillion in OMO maturities.

Treasury Bills maturities of N872.546 billion scheduled for repayment today are more than six times the N130.72 billion recorded around the October 28 auction. Banking-system liquidity stood at N8.59 trillion ahead of the October 28 auction, supported by approximately N2.13 trillion in OMO maturities.