CBN Anticipates N8.57 Trillion Liquidity Surge This Week

The Central Bank of Nigeria (CBN) is projected to face a significant liquidity surge of approximately N8.57 trillion beginning September 28, due to an expected N2.59 trillion injection from maturing Open Market Operations (OMO) bills and bond coupons. Analysis of CBN's financial data indicates that net system liquidity increased to N5.98 trillion for the week ending September 25, up from N2.86 trillion the previous week.

This increase is attributed to N2.43 trillion in OMO maturities and N164 billion in bond coupons. The substantial liquidity build-up is consistent with trends observed throughout 2026, as banks have consistently deposited over N7 trillion at the Standing Deposit Facility (SDF).

Following the Monetary Policy Committee's (MPC) decision on September 22 to reduce the Monetary Policy Rate by 350 basis points to 23%, the secondary Treasury bills market has shown bullish tendencies, indicating a strong response to the CBN's more accommodative monetary policy stance.