CBN to Raise N750bn in April Treasury Bills Auction as Investor Demand Strengthens

The Central Bank of Nigeria (CBN) has announced plans to raise N750 billion through its second Treasury Bills auction in April 2026, scheduled for April 22. The issuance is part of the government’s broader borrowing strategy and aligns with the Debt Management Office’s funding programme for the second quarter of the year.

According to an official tender notice issued to market participants, the auction will be conducted using the Dutch auction system and will offer securities across three maturities. A total of N100 billion will be allotted each to the 91-day and 182-day instruments, while the larger share of N550 billion will go to the 364-day Treasury Bills.

The auction forms part of the Federal Government’s N3.95 trillion Treasury Bills issuance plan for Q2 2026, as authorities continue to rely heavily on short-term domestic borrowing to finance fiscal obligations and manage liquidity in the financial system. Bids will be submitted electronically via the Scripless Securities Settlement System (S4), with results expected the same day.

Investor participation is expected to remain strong, particularly for longer-tenor instruments, as market players look to lock in attractive yields amid rising interest rate expectations. Analysts say the 364-day bills are likely to attract the highest demand, reflecting ongoing appetite for safe, government-backed securities in a volatile economic environment.

The CBN retains the right to adjust the final offer size depending on market conditions, with settlement scheduled for April 23. Market watchers will be closely monitoring the auction outcomes for signals on yield direction, liquidity trends, and broader investor sentiment in Nigeria’s fixed income market.

source: nairametrics