“In the coming week, an OMO maturity of N75.9 billion will hit the system, although we expect the impact to be subdued by sustained OMO mop ups by the apex bank. Hence, money market rates are expected to remain within current double digits range,” one dealer said. Other dealers said sentiment in the treasury bills market was largely bearish throughout the week as low liquidity levels continued to pressure activities.
Also Read: Rate to trend high on expected OMO, FX intervention auctions
At the start of the week, average yield stood at 18.5 per cent, higher than 18.4 per cent on Friday, and remained at this level on Tuesday. However, as system liquidity tightened on Wednesday, average yield on benchmark bills further increased to 18.6 per cent before closing the week at 18.6 per cent up 15bps week on week (W-o-W).