The Central Bank of Nigeria (CBN) will offer a total of N650 billion in Nigerian Treasury Bills (NTBs) at its auction scheduled for Wednesday, May 20, 2026, marking the second issuance for the month under the Federal Government’s second-quarter borrowing programme.
The planned issuance was contained in an official tender notice released by the apex bank on behalf of the Debt Management Office (DMO), with bids required to be submitted by the same date.
The exercise forms part of the government’s domestic borrowing strategy aimed at financing short-term obligations, managing liquidity in the financial system, and supporting fiscal operations in the second quarter of the year.
According to the notice, the N650 billion will be offered across three maturities under the Dutch auction system:
- N100 billion in 91-day Treasury Bills
- N50 billion in 182-day Treasury Bills
- N500 billion in 364-day Treasury Bills
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Authorised Money Market Dealers are expected to submit bids electronically via the CBN S4 WEB Interface between 8:00 a.m. and 11:00 a.m. on auction day.
The minimum subscription is set at N50.001 million, with bids required in multiples of N1,000 thereafter. Dealers may submit multiple bids on behalf of themselves, institutional investors, and the general public.
The CBN is expected to announce the auction results on May 20, while allotment letters for successful bidders will be issued on Thursday, May 21, 2026. Successful investors are also required to make payments into their CBN accounts by 11:00 a.m. on the settlement date.
However, the apex bank retained the discretion to adjust the total amount on offer depending on prevailing market conditions at the time of the auction.
The May 20 auction follows an earlier NTB issuance conducted on May 7, where the CBN offered N700 billion across the same tenors as part of its monthly borrowing schedule.
Market analysts expect the 364-day instrument to attract the strongest demand, driven by its relatively higher yield compared to shorter-dated bills. Strong liquidity in the financial system is also expected to support robust participation from pension fund administrators, asset managers, banks, and other fixed-income investors.
Analysts further note that investor positioning for attractive stop rates continues amid evolving monetary conditions and expectations around interest rate direction in the domestic debt market.
Nigeria’s Treasury Bills market remains a key tool for short-term government borrowing and liquidity management. The Q2 2026 NTB calendar targets about N3.95 trillion in total issuances to meet fiscal financing needs.
Earlier in May, the CBN conducted another NTB auction where N700 billion was initially offered across the three maturities, while April 2026 auctions also saw significant oversubscription, with total allotments rising well above planned offers due to strong investor demand.
Market participants are expected to closely watch subscription levels, allotments, and stop rates from the May 20 auction, particularly for the one-year tenor, which continues to dominate investor preference in the current yield environment.
