Nigeria’s financial system expects ₦2.04 trillion liquidity inflows this week despite tight CBN control.
FMDA released its report on May 25, 2026, and it highlights Open Market Operations as the main liquidity driver.
Liquidity Inflows Outlook
These inflows follow a tighter week as liquidity dropped 17.68% to ₦4.40 trillion.
The CBN triggered this drop after it mopped up ₦4.55 trillion through aggressive liquidity operations.
Although inflows fall below last week’s ₦3.03 trillion, they may still support money market stability.
OMO maturities will inject ₦1.97 trillion, contributing about 97% of total expected inflows.
This figure compares with ₦2.25 trillion recorded in the previous week.
FGN bond coupon payments will add ₦47.84 billion, down from ₦161.28 billion earlier.
Commercial paper maturities will contribute ₦23.10 billion versus ₦31.90 billion previously.
No Treasury bill maturities, bond maturities, or FAAC inflows will enter the system this week.
OMO Dominance In System Liquidity
As a result, OMO maturities dominate liquidity creation across the financial system.
The CBN withdrew ₦3.69 trillion in a single OMO auction last week.
This action reflects its ongoing sterilisation strategy to control excess system liquidity.
Market participants now expect further CBN operations that may tighten liquidity conditions.
Analysts argue that weaker inflows and tight policy will keep short-term rates elevated.
Reduced liquidity buffers may increase volatility in money markets.
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Selective reinvestment may occur through bond coupons and commercial paper activity.
CBN Sterilisation Impact On Markets
FMDA projects total May inflows at ₦10.53 trillion, above April’s ₦9.08 trillion.
OMO maturities will dominate monthly flows at ₦7.17 trillion overall.
Treasury bills and FAAC inflows will contribute ₦1.05 trillion and ₦1.8 trillion respectively.
Overall, CBN policy continues to drive liquidity direction and shape market sentiment.<!-
