Rates to remain low on N238,733bn maturing T-bills

MONEY Market rates are expected to remain at the low levels it closed last week following maturing treasury bills (T-Bills) worth N238.733 billion which will more than offset treasury bills auctions worth N204.96 billion.

One trader confirmed that open buy back and overnight rates closed the week at 9.0 per cent and 9.8 per cent respectively .

The maturities  traders said, are viz: 91-day bills worth N12.295 billion, 364-day bills worth N129 billion and 353-day bills worth N97.438 billion which will more than offset treasury bills auctions worth N204.96 billion, viz 91-day bills worth N36.786 billion, 182-day bills worth N39.175 billion and 364-day bills worth N129 billion.

“Hence, we expect financial system liquidity ease and resultant stability in interbank rates,” dealers from Cowry Assets Management Limited said in a note to investors.

Nonetheless, other traders expect the CBN to continue with its aggressive Open Market Operation (OMO) mop ups while open buy back (OBB) and (OVN) rates remain in the double digit band.