The Central Bank of Nigeria (CBN) sold approximately N17.51 trillion in Open Market Operations (OMO) bills in September 2026, while about N10.89 trillion in maturing bills was repaid over the same period, leaving a net liquidity withdrawal of roughly N6.62 trillion.
Nairametrics’ analysis of CBN auctions and repayments data shows that the gross sales came from five OMO auctions conducted on September 1, 8, 16, 24 and 29.
The N17.51 trillion allotted was about 2.7 times the cumulative N6.4 trillion initially offered, but large repayments during the month meant that a significant portion of the liquidity absorbed through new sales had first been returned to the financial system through maturing OMO bills.
Maturities offset 62% of OMO Sales:
Five OMO maturities worth approximately N10.89 trillion were recorded during September, equivalent to roughly 62% of the N17.51 trillion in gross sales. This left the CBN with net liquidity absorption of about N6.62 trillion, or 38% of the total amount sold.
- The CBN repaid N62 billion on September 7, followed by N3.07 trillion on September 8.
- Another N3.06 trillion matured on September 15, while N2.27 trillion was repaid on September 22.
- The final major maturity came on September 29, when N2.433 trillion was returned to the financial system.
- Against these repayments, the CBN recorded OMO sales of N2.88 trillion, N4.40 trillion, N3.29 trillion, N2.255 trillion and N4.686 trillion across the five September auctions.
The figures indicate that much of September’s OMO activity involved replacing maturing securities with fresh instruments rather than the entire N17.51 trillion representing additional liquidity withdrawal.
Net OMO withdrawal hits N6.62 trillion:
The scale of net absorption varied considerably across the month, with the largest withdrawals occurring around the first and final auctions. In between, fresh sales were more closely matched with maturing OMO repayments.
The September 1 auction and September 7 maturity produced net absorption of about N2.82 trillion, based on N2.88 trillion in sales against N62 billion repaid.
- On September 8, N4.40 trillion was sold against N3.07 trillion repaid, leaving net withdrawal of about N1.33 trillion.
- Around September 15 and 16, reported sales of N3.29 trillion exceeded the N3.06 trillion repayment by about N236 billion, while the September 22 and 24 transactions resulted in a marginal net injection of roughly N15 billion.
- On September 29, N4.686 trillion in OMO sales exceeded the N2.433 trillion same-day maturity by about N2.25 trillion, making the final auction another major net liquidity withdrawal.
However, the September 16 CBN data contains an inconsistency. The reported N3.292 trillion successful allotment exceeds total subscriptions of N3.034 trillion, driven by a 69-day entry showing N861.85 billion allotted against N408.52 billion subscribed.
If that allotment were capped at subscriptions, gross September sales would be about N17.06 trillion and net absorption roughly N6.17 trillion. The N17.51 trillion figure reflects the CBN data as reported.
Investors favour longer OMO tenors:
Investor demand remained strong even as OMO rates declined during September. Nairametrics had previously reported that stop rates on longer-tenor instruments fell by about 170 basis points from 18.99% on September 1 to 17.29% as of September 24.
- The September 29 auction extended the maturity profile further, introducing a 266-day instrument that matures in 2027.
- The 266-day bill cleared at 16.23% and attracted N4.543 trillion in subscriptions against N1 trillion offered, representing demand of 4.54 times the offer.
- The CBN allotted N2.996 trillion on the 266-day instrument, while the 182-day and 147-day bills cleared at 16.94% and 17.24%, respectively.
- Total subscriptions across September’s five auctions reached about N27 trillion, compared with N18.72 trillion in August.
- The CBN still recorded more than N6.2 trillion at the Standing Deposit Facility as of September 29, indicating substantial liquidity remained within the banking system.
The September figures therefore show the CBN simultaneously recycling large OMO maturities and withdrawing additional liquidity, while the shift towards longer-dated instruments pushes some repayments into 2027 and reduces the amount returning to the banking system in the near term.
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