The Central Bank of Nigeria (CBN) will on Wednesday, October 22, 2025, conduct its Treasury Bills (T-Bills) Primary Market Auction (PMA), where a total of N650 billion worth of maturing bills will be rolled over.
The manufacturing bills being reissued on behalf of the Debt Management Office (DMO) will be offered across three maturities: N100 billion for the 91-day tenor, N100 billion for the 182-day paper, and N450 billion for the 364-day instrument.
It is part of the government’s regular short-term borrowing programme aimed at managing liquidity.
According to the CBN, the sale will be conducted via a Dutch auction, a competitive bidding process where investors submit their interest rates, and the final stop rate is determined by demand and market dynamics.
By rolling over maturing bills, the government is not necessarily raising fresh debt but rather refinancing existing obligations.
The CBN stated that authorized Money Market Dealers will submit bids electronically through the CBN S4 Web Interface between 8:00 a.m. and 11:00 a.m. on Wednesday, October 22, 2025. Each bid must be made in multiples of N1,000, subject to a minimum investment of N50,001,000.
Money Market Dealers are also allowed to place bids on behalf of non-dealer clients such as corporates, fund managers, and interested members of the public, offering indirect access to retail investors seeking low-risk instruments.
The CBN further clarified that dealers can submit multiple bids at different rates, enhancing the flexibility of investment choices.
The results of the auction will be announced on Wednesday, October 22, a day before settlement.
Successful bidders will receive their allotment letters on Thursday, October 23, while payments for allotted amounts must be made into their accounts with the CBN no later than 11:00 a.m. that same day. The apex bank also reserved the right to reject or adjust bids depending on prevailing market conditions.
Analysts say the October auction is expected to draw strong interest, particularly in the 364-day bills, which traditionally attract higher yields due to their longer duration.
The CBN’s decision to roll over rather than expand the size of issuance suggests a cautious approach to managing liquidity in the system. By maintaining the N650 billion offer size, the Bank aims to prevent excessive money supply that could worsen inflationary pressures while ensuring the government meets its short-term financing needs.
Market watchers will also be paying attention to the stop rates—the final accepted interest rates for each tenor—as they provide clues to investor sentiment and the direction of short-term yields. Given current market realities, analysts predict moderate downward adjustments in yields to reflect easing monetary policy and declining inflationary pressures.
The October 22 auction underscores the CBN’s continued reliance on Treasury Bills as a key tool for liquidity control and fiscal support.
For investors, the exercise presents another opportunity to lock in steady, low risk returns in a market still navigating inflation and currency fluctuations.
As the auction comes up on Wednesday, attention will be paid to how much demand the bills attract and at what rates the market clears.
As the auction comes up on Wednesday, attention will be paid to how much demand the bills attract and at what rates the market clears.