The Nigerian government will borrow money again from Nigerians through treasury bills in 2023.
Indeed, the Central Bank of Nigeria (CBN) has rolled out plans to help the Federal Government raise ₦1.13 trillion through treasury bills in the second quarter of 2023.
This announcement is available on the CBN website, in the Nigerian Treasury Bill Issue Programme for the Second Quarter 2023.
The bills, which are classified into three tenures of 91-days, 182-days, and 364-days, with a plan to raise ₦23.67bn, ₦34.7bn, and ₦1.08tn respectively, with the issuance scheduled for March to May 2023.
A closer look at the programme document indicates that the CBN plans to raise ₦531.74bn worth of T-bills, consisting of ₦4.28bn worth of 91-day bills, ₦14.8bn worth of 182-day bills, and ₦512.66bn worth of 364-day bills in March.
In April, the central bank plans to raise ₦280.98bn worth of T-bills, comprising ₦4.8bn worth of 91-day bills, ₦12.62bn worth of 182-day bills, and ₦263.56bn worth of 364-day bills.
Finally, in May, the apex bank will raise ₦324.36bn worth of T-bills, consisting of ₦14.48bn worth of 91-day bills, ₦7.2bn worth of 182-day bills, and ₦302.68bn worth of 364-day bills.
It is noteworthy that the bills are also a roll-over of maturing bills for the corresponding period.
January And February T-Bills
The CBN also raised a total of ₦540.9bn through treasury bills for January and February combined, a significant increase from the ₦342.6bn raised during the same period in 2022.
Nigeria’s treasury bills rates have increased over the past few weeks, with the 91-day treasury bills going for 3%, 182-day bills at 3.24%, and 9.9% for the one-year bill.
T-bills are short-term debt instruments that the Nigerian government issues.
Often, they are issued through the CBN to raise funds to finance government budget deficits.
Data from the central bank reveals that the government issued a total of N3.9tn in treasury bills in 2022.
