In a significant development, the Central Bank of Nigeria (CBN) sold OMO bills valued at ₦1.56 trillion during Monday’s primary market auction. The offering saw strong demand, particularly from foreign portfolio investors (FPIs) and local banks, with increased interest in longer-tenor instruments.
Initially, the apex bank made two long-term instrument offers totalling ₦600 billion. Demand, however, was higher than anticipated, as seen by the 2.60x bid-to-cover ratio. Foreign investors’ confidence was increased by the automated FX trading platform’s increased currency market transparency.
According to CardinalStone Securities Limited, the apex bank sold ₦1.56 trillion worth of OMO notes at a stop rate of 23.98% at the end of the auction to meet demand.
