Central Bank of Nigeria building. Photo: CBN
The Central Bank of Nigeria has lowered the stop rate on the one-year Nigerian treasury bill to 16.84 per cent, extending the recent decline in yields despite another wave of strong demand from investors.
At Wednesday’s primary market auction, investors submitted N3.35tn worth of bids for T-bills valued at N700bn, representing demand nearly five times the amount initially offered. The CBN ultimately allotted N865.71bn.
The latest reduction takes the 364-day bill’s stop rate 31 basis points below the 17.15 per cent recorded at the previous auction on 26 August.
It also means the rate has declined by 75 basis points across the last two auctions, from 17.59 per cent on 12 August to 16.84 per cent.
