CBN Reports N930bn Drop in Banking Liquidity
The Central Bank of Nigeria (CBN) reported a decline in banking system liquidity by N930 billion, bringing it down to N3.66 trillion from N6.81 trillion recorded on August 11. This decrease is attributed to the settlement of Treasury Bills auctions.
The overnight lending rate rose by two basis points to 22.20%, compared to 22.18% on August 11, while the Open Buy Back (OBB) rate remained stable at 22.00%. Despite the decline, the liquidity position indicates a surplus, as it stood at N3.66 trillion at the market's opening on Friday.
The CBN has been actively managing liquidity through Open Market Operations (OMO) and Treasury Bills. On August 26, the CBN received N4.26 trillion in subscriptions at its OMO auction, allotting N2.80 trillion, and also saw strong demand for Treasury Bills, with N3.79 trillion in subscriptions against N700 billion offered.
The CBN revised its OMO participation framework to include more investors and lifted the suspension on Tenored Repo Operations.
Plus234Feed summary based on reporting from This Day. Read the original report below.
Read full article
Continue on This Day
Get the week in one email
Top stories, NPFL results, the naira, every Friday morning. Free, one email a week.
Related Stories
Nigeria's Overnight Lending Rate Hits 22.20% Amid Tightening
Nigeria's Banking Liquidity Drops 18.4% Amid CBN Actions
CBN Reports N5.53 Trillion Cash Liquidity Surge in May
Central Bank of Nigeria Cuts Rates, Boosts Liquidity
CBN Infuses N3.81 Trillion into Banking System Liquidity
Central Bank of Nigeria anticipates ₦8.57tn liquidity boost
Get Plus234Feed on messaging apps
Same headlines, delivered where you already scroll.
