The Debt Management Office (DMO) sold Treasury Bills (T.bills) valued at N406.90 billion across its auctions in October 2023.
This was contained in the FMDQ Markets Monthly Report for October seen by Nairametrics.
The amount represents 25.21% (N119.93 billion) Month-on-month (MoM). A decrease in the value of T-bills sold across its auctions in September 2023 (N544.05 billion).
Similarly, the DMO sold FGN Bonds worth N374.76 billion via the reopening of two (2) 10Y, one (1) 15Y, and one (1) 30Y FGN Bond in October 2023.
The report noted that the total sale represents a 104.10% oversubscription of the amount offered and an 18.41% (N58.27 billion) MoM increase on the amount sold in September 2023 (N316.49 billion) for the same FGN Bond maturities.
In October 2023, the CBN sold OMO Bills worth N400.00 billion in its second public OMO Bills auction in 2023.
Corporate bonds: According to the report, non-sovereign bonds worth N23.00 billion were listed on the FMDQ Exchange in October 2023, representing an 80.00% (N92.00 billion) MoM decrease from September 2023 listings.
- “The non-sovereign bond listings emanated solely from a corporate issuer in the financial services sector.
- As a result, the total outstanding value for non-sovereign bonds increased marginally MoM by 0.35% (N7.72 billion) from N2,180.27 billion in September 2023 to N2,187.99 billion in the review month,” it said.
Commercial Papers: The report stated that the total value of CPs quoted on the FMDQ Exchange in October 2023 was N36.51 billion, representing a MoM decrease of 75.03% (N109.71 billion) from the value of CPs quoted in September 2023.
- “Quoted CPs were issued by institutions from various sectors including financial services (5), manufacturing (5), agriculture (2), health & pharmaceuticals (1), and real estate (1).
- As a result, the total outstanding value for CPs increased MoM by 2.39% (N22.15 billion) to N948.56 billion in October 2023,” it said.
Secondary market turnover: According to the report, secondary market turnover on the FMDQ Exchange in October 2023 was N21.70 trillion, representing a MoM decrease of 6.75% (N1.57 trillion) and a YoY increase of 60.27% (8.16 trillion) from September 2023 and October 2022 figures, respectively.
CBN Bills, Money Market (MM) and Foreign Exchange (FX) transactions dominated secondary market activity, accounting for 80.69% of the total secondary market turnover in October 2023.
- Total spot market turnover for all products traded in the secondary market was N20.48 trillion in October 2023, representing a MoM decrease of 4.02% (₦0.86 trillion) from the September 2023 figures.
- The MoM decrease in total spot market turnover was jointly driven by the 38.24% (N3.04 trillion) and 11.89% (N0.49 trillion) decrease in MM and FX turnover, offsetting the 29.04% (N2.68 trillion) increase in FI turnover, respectively.
