CBN Treasury Bills Announcement

The Central Bank of Nigeria is offering N171.835bn worth of Treasury Bills at the Primary Market Auction holding on Wednesday October 10, 2012 as follows:

 

Maturity Date	Tenor (days)	Amount (N)	*Discount Rate Estimates(%)
10-Jan-13	91	30.159bn	12.900 – 13.100
11-Apr-13	182	73.491bn	13.000 – 13.400
10-Oct-13	364	68.185bn	13.000 – 13.500

 

 

 

 

 

 

 At the last Primary Market Auction for Treasury Bills, held on the 26^th of September 2012, the 91, 182 and 364day T-Bills closed at 12.7000%, 13.0000% and 13.6000% respectively.

 Market performance since the last auction has been bearish. Secondary market players have cashed-out; sending yields on the uptick. Yields have clawed up by an average of 46bps within the period – going as high as 14.68%** (for the 5-Sep-13 maturity). 

 There will be at least N141.675bn flowing into the system this week from maturing bills. This is not expected to have a profound impact the bearish trend (or significantly dampen the rate spikes); as larger volumes will be on offer. Above are ranges of discount-rates we reckon the various notes might print at.

We are willing to assist you with your bids at the auction and also with all your secondary market transactions any day you wish to trade.

Please note that on auction days, CBN window closes at 9.00am, cancellations or adjustment in the details by clients must be communicated by the close of the previous business day. Any cancellations or adjustments after the deadline may not be entertained.