Trading in Nigeria’s Treasury bills secondary market closed on a bullish note as increased investor demand across the yield curve pushed the average yield down by one basis point to 17.8 per cent.
The decline was recorded across the short-, medium- and long-term segments of the market, with average yields in each segment contracting by one basis point.
Demand was particularly noticeable in the 86-day, 177-day and 219-day Treasury bills, which recorded yield declines of one basis point, one basis point and 10 basis points, respectively.
The performance reflects sustained investor interest in government short-term debt instruments as market participants position their portfolios around prevailing liquidity conditions and expectations regarding interest rates.
The Open Market Operations segment also recorded a bullish performance, with average yields declining by three basis points to 18.6 per cent.
Similarly, the Federal Government of Nigeria bond secondary market maintained a positive trading direction, as the average yield declined by one basis point to 16.1 per cent.
Across the bond curve, yields contracted at the long end by two basis points, supported by demand for the April 2037 maturity.
The decline in yields indicates that investors were willing to accept slightly lower returns on selected government securities, reflecting improved demand and positioning in the fixed-income market.
Developments in the Treasury bills and bond markets remain important for government borrowing costs, portfolio allocation decisions and the broader transmission of monetary policy.
The latest performance suggests a modest improvement in demand across major segments of the domestic fixed-income market.
