The Central Bank of Nigeria (CBN) has announced plans to sell N2.2 trillion worth of Treasury Bills (TBs) in the fourth quarter of 2024. This represents a significant decrease compared to the previous quarter.
Treasury Bills are short-term debt instruments issued by the government to raise funds. The CBN uses TBs to control the money supply in the economy.
The TB issue program will start on September 4th and end on November 20th. The CBN will sell TBs with different maturity periods, including 91 days, 182 days, and 364 days.
The breakdown of the TB sales for each month is as follows:
September: N622.72 billion
October: N456.57 billion
November: N1.12 trillion
The CBN’s decision to reduce TB sales in the fourth quarter is likely due to various factors, including the government’s fiscal position and the need to manage liquidity in the financial system.
It’s important to note that the actual amount of TBs sold may vary depending on market conditions and investor demand.
The sale of Treasury Bills is a crucial tool for the CBN in managing the economy. By controlling the money supply, the CBN can influence interest rates, inflation, and economic growth.
