{"id":11320,"date":"2026-11-06T08:30:01","date_gmt":"2026-11-06T08:30:01","guid":{"rendered":"https:\/\/ograsset.com\/?p=11320"},"modified":"2026-11-06T08:30:02","modified_gmt":"2026-11-06T08:30:02","slug":"cbn-withdraws-n3-46tn-through-omo-t-bills","status":"publish","type":"post","link":"https:\/\/ograsset.com\/index.php\/2026\/11\/06\/cbn-withdraws-n3-46tn-through-omo-t-bills\/","title":{"rendered":"CBN withdraws N3.46tn through OMO, T-bills"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

Nigeria\u2019s Central Bank absorbed N3.46tn from the financial system through its latest Open Market Operations and Treasury bills auctions, as investors submitted more than twice the amount offered despite unchanged T-bill stop rates.<\/p>\n\n\n\n

 The auctions, conducted on 3 and 4 November, attracted combined subscriptions of N5.57tn against offers of N2.3tn, according to results released by the apex bank.<\/p>\n\n\n\n

 The CBN allotted N2.95tn through OMO and N509.41bn through T-bills, bringing total allotments to approximately N3.46tn.<\/p>\n\n\n\n

 The OMO auction accounted for about 85 per cent of the combined allotment, reflecting the central bank\u2019s stronger absorption of liquidity through the instrument<\/p>\n\n\n\n

At the 3 November OMO auction, the CBN offered N1.5tn across 119-day, 126-day and 133-day instruments but received subscriptions of N3.52tn, representing 2.35 times the offer.<\/p>\n\n\n\n

 The apex bank allotted N2.95tn, with demand concentrated in the 133-day instrument, which attracted N2.36tn, accounting for about 67 per cent of total subscriptions.<\/p>\n\n\n\n

 Stop rates for the 119-day, 126-day and 133-day OMO bills stood at 17.77 per cent, 17.71 per cent and 17.67 per cent, respectively.<\/p>\n\n\n\n

 The sizeable allotment represented a sharp increase from the 29 October auction, when the CBN sold only N244.93bn despite receiving N2.28tn in bids.<\/p>\n\n\n\n

The 4 November T-bill auction also recorded strong investor demand, with subscriptions reaching N2.045tn against an offer of N800bn.<\/p>\n\n\n\n

However, the CBN allotted only N509.41bn, leaving approximately N1.54tn in bids unaccepted.<\/p>\n\n\n\n

 The 364-day instrument dominated demand, attracting N1.994tn in subscriptions and receiving N461.84bn in allotments.<\/p>\n\n\n\n

 The 91-day bill attracted N25.01bn in bids, of which N22.40bn was allotted, while the 182-day instrument received N25.83bn in subscriptions and N25.17bn in allotments.<\/p>\n\n\n\n

 The latest allotment was significantly higher than the N71.16bn recorded at the 28 October auction, when the central bank rejected most investor bids.<\/p>\n\n\n\n

 Despite the increase in subscriptions, the CBN maintained T-bill stop rates at their previous levels.<\/p>\n\n\n\n

The 91-day instrument cleared at 15.40 per cent, while the 182-day and 364-day bills settled at 15.79 per cent and 15.80 per cent, respectively.<\/p>\n\n\n\n

Investors, however, demanded higher yields on longer-dated securities, with bids for the 364-day bill reaching 18.18 per cent, substantially above the accepted rate.<\/p>\n\n\n\n

 Average yields increased by 43 basis points to 17.70 per cent on 3 November from 17.28 per cent on October 28.<\/p>\n\n\n\n

 The three-month benchmark yield climbed by 130 basis points to 17.40 per cent, while the six-month benchmark increased by 122 basis points to 17.85 per cent.<\/p>\n\n\n\n

 The difference between primary and secondary market yields, alongside higher OMO rates, highlights varying investor expectations across short-term government securities.<\/p>\n\n\n\n

 The 126-day OMO stop rate of 17.71 per cent was 192 basis points above the 182-day T-bill rate of 15.79 per cent<\/p>\n\n\n\n

 The latest OMO allotment comes against the backdrop of substantial liquidity in the banking system and expectations of sizeable inflows in November.<\/p>\n\n\n\n

Financial data showed that banks had more than N7.72tn in the Standing Deposit Facility on 3 November, indicating elevated excess liquidity.<\/p>\n\n\n\n

 The liquidity position followed approximately N2.016tn in OMO maturities, partly offset by the central bank\u2019s subsequent N2.95tn allotment.<\/p>\n\n\n\n

 In September, the CBN sold N17.51tn in OMO securities against N10.89tn in maturities, resulting in a net liquidity withdrawal of N6.62tn.<\/p>\n\n\n\n

 The apex bank also allotted N4.69tn at its September 29 OMO auction against an advertised offer of N2.5tn.<\/p>\n\n\n\n

 At the 22 October auction, OMO allotments reached N2.63tn against an offer of N2tn, before falling sharply at the final auction of the month.<\/p>\n\n\n\n

 The Financial Markets Dealers Association reported that banking-system liquidity increased by 56.75 per cent to N7.373tn in October as OMO absorption moderated.<\/p>\n\n\n\n

 The association also projected N13.79tn in liquidity inflows during November, largely from OMO maturities, government allocations and Treasury bills repayments.<\/p>\n\n\n\n

Meanwhile, the Debt Management Office has raised approximately N1.82tn against N2.95tn offered across four T-bill auctions in the fourth quarter.<\/p>\n\n\n\n

\n
CBN withdraws N3.46tn through OMO, T-bills<\/a><\/blockquote>