FRI NOV 06 2026-theGBJournal| The Nigerian money market strengthened significantly on Thursday, with the banking system recording a net liquidity surplus of ₦8.26 trillion, supported by inflows from primary market repayments.
Improved liquidity conditions eased overnight funding costs, pushing the Overnight (O/N) rate down 2 basis points (bps) to 20.18%. Meanwhile, the Open Repo rate and Nigerian Overnight Financing Rate (NOFR) remained unchanged at 20.00%.
In the Treasury bills secondary market, bullish sentiment prevailed, with the average yield declining 1bp to 17.9%. Yields contracted across all segments of the curve, with the short-, mid- and long-term tenors each shedding 1bp.
The decline was driven by demand for the 91-day, 182-day and 357-day instruments, respectively.
The bullish momentum was more pronounced in the Open Market Operations (OMO) segment, where the average yield declined 11bps to 18.5%, reflecting sustained investor appetite for short-term fixed-income assets.
Conversely, the FGN bond secondary market remained subdued, with the average yield unchanged at 16.2%, as trading activity showed little directional movement.
In the offshore market, Nigerian Eurobonds extended gains across the yield curve, with the average yield easing 6bps to 7.04% from 7.10% in the previous session, signalling improved investor sentiment towards the country’s sovereign debt.
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