In March 2024, Nigeria’s Debt Management Office (DMO) conducted auctions and sold treasury bills totaling N2.669 trillion. This information was recently revealed in the Markets Monthly Report for March by FMDQ.
The N2.669 trillion figure reflects a 3.07% increase (N79.54 billion) compared to the value of treasury bills sold in February 2024, which stood at N2.589 trillion.
Additionally, in March 2024, the DMO auctioned Federal Government of Nigeria (FGN) bonds amounting to N608.86 billion, which includes N133.20 billion from non-competitive bids. These bonds comprised a new three-year issuance along with the reopening of seven-year and 10-year FGN bonds.
The report highlighted that the total sale of bonds had a 35.30% oversubscription rate compared to the offer and saw a 59.27% decrease (N886.05 billion) month-on-month from the amount sold in February 2024 (N1.494 trillion) across the seven and 10-year FGN bond categories.
Still in March 2024, the Central Bank of Nigeria (CBN) sold open market operations bills valued at N1.056 trillion in the primary market.
According to the report, there were no new listings of non-sovereign bonds on the FMDQ Exchange in March 2024. However, non-sovereign bonds worth N15 billion matured and were redeemed, resulting in a 0.68% (N15.00 billion) month-on-month decrease in the outstanding value, bringing it to N2.194 trillion in March 2024.
The report also revealed that the total value of commercial papers (CPs) quoted on the FMDQ Exchange in March 2024 was N112.62 billion, marking a significant 123.76% month-on-month increase of N62.29 billion from the CPs quoted in February 2024.
Institutions from diverse sectors such as financial services (10), manufacturing (4), retail (2), health and pharmaceuticals (1), agriculture (1), technology (1), and chemical supply and oil field service (1) issued quoted CPs. Nevertheless, N39.26 billion worth of CPs matured and were redeemed, leading to a 9.28% (N73.36 billion) month-on-month increase in the total outstanding CP value, reaching N864.11 billion in March 2024.