//
you're reading...
Issues In The News

Nigerian Treasury auction 4-1/2 times oversubscribed

A Nigerian short-term debt sale was 4-1/2 times oversubscribed by local pension funds and foreign investors on Wednesday, driving yields down across maturities, dealers said.

Nigeria received N680.14 billion ($4.21 billion) in subscriptions for Treasury bills ranging from 3-month to one-year maturities. It had aimed to raise N150.61 billion ($932 million) and the heavy demand pushed yields down more than 0.70 percentage point across the board, dealers said.

Offshore funds have renewed their appetite for Nigerian assets, dealers say, after the West African country rebased its gross domestic product (GDP), overtaking South Africa as the continent’s biggest economy and making it a more attractive destination for investors. Demand for the debt helped the naira currency firm 0.34 percent against the dollar on Wednesday.

The central bank sold N34.88 billion worth of 91-day bills at 11 percent, lower than the 11.71 percent at the previous auction earlier in April. It sold N30 billion in the 180-day notes at 11.77 percent, 1.07 percentage point below the yield it paid at the last auction, while the one-year paper fetched 12.24 percent, against 13.04 percent at the previous sale.

Reuters

About TransformationWatch

TransformationWatch is an online news site founded by Henry Omoregie It is focused on keeping tabs on the Transformation Agenda set out by the Nigerian leadership in the Local, State and Federal Governments. My mission is to observe, analyze and report milestones or slowdowns in promised service delivery in all the facets of governance in Nigeria (2011 and beyond). Readership is open to all Nigerians and friends of Nigeria alike, regardless of Tribe, Religion or Political divide. We are all in this together

Discussion

No comments yet.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

TransformationWatch on Twitter

%d bloggers like this: