Nigeria’s Treasury Bills market saw a significant surge in investor interest on November 19, 2025, with demand for the 364-day paper far exceeding the government’s offer. According to data from the Central Bank of Nigeria’s latest auction, stop rates for the 91-day, 182-day, and 364-day tenors remained unchanged at 15.30 percent, despite a declining inflation rate of 16.05 percent in October.
The auction results showed that investors heavily subscribed to the long-term bill, with subscriptions totaling over N1.2 trillion, significantly surpassing the N450 billion offered by the Central Bank of Nigeria. The true yields for the various tenors stood at 15.9 percent for the 91-day bill, 16.8 percent for the 182-day bill, and 19.1 percent for the 364-day bill, making them attractive to investors.
The strong demand for Treasury Bills, particularly the long-dated instrument, is seen as a strategy by investors to lock in the current high-yield environment before the anticipated moderation of interest rates in 2026. With liquidity remaining strong and yield levels still attractive, Treasury Bills are expected to remain a key investment destination for both institutional and retail investors in the near term.
The Central Bank of Nigeria recently mandated the use of the S4 electronic interface for Treasury Bills auction submissions, aiming to take full control of the market. This development comes as the bank continues to manage the country’s monetary policy and maintain stability in the financial markets.
The surge in demand for Treasury Bills is a significant development in Nigeria’s financial landscape, indicating investor confidence in the government’s debt instruments. As the country’s economy continues to evolve, the Treasury Bills market is likely to remain a crucial component of the financial sector, providing investors with attractive returns and the government with a means to finance its activities. With the current yield environment and strong liquidity, Treasury Bills are poised to remain a popular investment option for investors seeking attractive returns.