The Central Bank of Nigeria (CBN), on behalf of the Debt Management Office (DMO), will today, Wednesday, August 26, 2026, offer N700 billion worth of Nigerian Treasury Bills (NTBs) in the second and final auction scheduled for August.
The auction will cover three maturities: N100 billion for the 91-day bills, N100 billion for the 182-day bills and N500 billion for the 364-day bills.
According to the Invitation to Tender, authorised Money Market Dealers are required to submit bids through the CBN S4 Web Interface between 8:00 a.m. and 11:00 a.m. The auction will be conducted through a Dutch auction.
Each bid must be in multiples of N1,000, with a minimum bid of N50.001 million. Dealers may submit multiple bids for themselves, non-Money Market Dealers and members of the public.
The auction results are expected to be released today, while allotment letters will be issued on Thursday, August 27. Successful bidders are expected to make payment to the CBN by 11:00 a.m. on the same day.
Strong demand for Treasury Bills
The auction follows the CBN's August 12 NTB sale, which attracted N4.4 trillion in subscriptions, significantly exceeding the N700 billion initially offered.
The 364-day Treasury Bill was particularly popular, receiving N4.19 trillion in bids against an offer of N500 billion. The CBN subsequently raised the stop rate for the one-year bill to 17.59%, from 17.35%.
The 91-day and 182-day bills maintained stop rates of 16.30% and 16.50%, respectively.
The CBN eventually allotted about N1.456 trillion at the August 12 auction, more than twice the amount initially advertised.
The first planned August auction was cancelled after the CBN conducted OMO auctions that absorbed a combined N4.69 trillion from the banking system, raising concerns about excessive tightening of liquidity.
Market watches interest rates
Today's auction will be closely monitored by investors, particularly for the stop rate on the 364-day Treasury Bill.
Market participants are also watching for signs of a possible shift in monetary policy, with analysts expecting the CBN to begin cutting interest rates at its September Monetary Policy Committee meeting.
If the CBN again allots significantly above the advertised N700 billion, today's auction could push the total amount allotted through August Treasury Bill sales well above N2 trillion.
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