Nigeria has sold 101.22 billion naira ($642.26 million) in treasury bills with maturity ranging from three months to six month, the central bank said on Thursday, and yields were down more than 100 basis points due to strong demand for the paper.
The central bank sold 37.49 billion naira of 91-day paper at a yield of 12 percent, lower than the 13.64 percent it offered at the previous auction.
It sold 63.73 billion naira in 182-day paper at 12.6 percent, down from 13.80 percent previously.
Total subscriptions were at 220.88 billion naira, while demand for the 182-day bond was the heaviest, at 143.48 billion naira.
Nigeria’s monetary authorities left the benchmark interest rate on hold at 12 percent on Tuesday, while inflation rate declined to 11.7 percent in August, from 12.8 percent previously.
Nigeria, Africa’s second biggest economy after South Africa, issues treasury bills regularly to reduce money supply, curb inflation and help lenders manage their liquidity. ($1 = 157.60 naira)
Source: Reuters (Reporting by Oludare Mayowa; Editing by Tim Cocks)