CBN TO ISSUE N79BN IN TREASURY BILLS

The Central Bank of Nigeria on Thursday said it would issue N79.14bn in 91-day, 182-day and 364-day treasury bills next Wednesday, using the Dutch Auction System.

The regulator said it would issue 18.58bn naira in 91-day bills, N30.55bn in 182-day bills and N30bn in the 364-day bonds.

According to Reuters, the apex bank said the results of the auction would be released the following day.

'Nigeria, sub-Saharan Africa's second biggest economy, issues treasury bills as part of its monetary control measures to curb inflationary growth and help banks manage their liquidity,'the report said.

Meanwhile, the naira weakened against the United States dollar on the inter-bank market at Thursday, after gaining at the CBN Wholesale Dutch Auction System on Wednesday.

At the inter-bank market, the naira fell to N150.45 to the dollar, from N150.25 the previous session, due to heavy dollar buying by an unidentified financial institution.

'There has been heavy buying of the dollar by a certain bank and this has led to consistent depreciation of the naira,' one dealer said.

Traders said the large dollar buying by the bank was aimed at funding transactions that failed to pass through the CBN's auction.

Dollar inflows from oil companies' month-end sales were not enough to balance the buying, but dealers said the naira would likely hover near current levels, until the next CBN auction on Monday.

The naira appreciated at Wednesday's auction after the apex bank sold $209.83m at N148.25 to the dollar, short of the $250m initially offered.

The sale was higher than the $157.77m it sold at N148.30 a dollar at its previous auction last week.