FG plans to raise N213.7bn treasury bills auction in March

Federal Government plans to raise N213.75 billion from short-term treasury bills at an auction on March 15, the central bank said.

The government the CBN said plans to raise N39 billion in three-month debt, N48.45 billion in six-month bills and N126.30 billion in one-year notes, using a Dutch auction system. Payment will be due the day after the auction.

Nigeria’s central bank issues treasury bills twice a month to finance the budget deficit, help manage commercial banks’ liquidity and curb rising inflation.

Nigeria expects its budget deficit to widen to N2.36 trillion this year as it tries to spend its way of out of recession with more than half of the deficit to be funded through local borrowing.

Nigeria it was learnt plans to sell N1.13 trillion worth of treasury bills in the second quarter of the year.