Nigeria’s financial market is expected to receive inflows of N334.5 billion on Wednesday, boosting liquidity to N406.8 billion from Friday’s N72.3 billion.
A total of N157.2 billion in maturing Nigerian Treasury Bills (NT-Bills) will be rolled over by the Central Bank of Nigeria in the Primary Market Auction (PMA) on Wednesday, while N177.3 billion is said to come from maturing Open Market Operation (OM). ).
Last week, the NT-Bills secondary market had a bullish run amid pressured liquidity levels (which fell to N72.3 billion on Friday) due to continued demand on long-term maturities (as average yields rise week-on-week). week down 56 bps). As a result, WoW’s average yield fell by 8 basis points to end at 4.69 percent, from 4.77 percent in the previous week.
The secondary market for NT-Bills closed flat on Monday, with the average yield across the curve remaining unchanged at 4.68 percent. Average yields over the short, medium and long maturities closed at 3.47 percent, 4.34 percent and 5.68 percent, respectively.
The average return on the market for OMO banknotes also remained unchanged at 5.95 percent. Average yields on short, medium and long maturities closed at 5.36 percent, 6.18 percent and 6.65 percent, respectively.
At the PMA, the Debt Management Office’s N150 billion offer was met with strong demand as the total subscription was 2.1x, with the highest subscription in the 2050s of N177.4 billion. The DMO also lowered the stop rate for all offers to 11.6 percent, 12.75 percent and 12.80 percent, while the overall bid-to-cover ratio was 1.35x.