The federal government of Nigeria is set to borrow N823 billion from the domestic economy in the first quarter of the year 2019 (Q1’19) through treasury bills which will be issued by the Central Bank of Nigeria (CBN).
The Apex bank disclosed this in its treasury bills (TB) issuance programme for Q1’19 which was released yesterday. The fresh TBs to be issued during the quarter comprise of N51.5 billion worth of 91-Days TBs, N164.9 billion worth of 182-Days TBs and N607.1 billion worth of 364-Days TBs.
The analysis of media giant Vanguard showed that from January 3rd to January 31st the CBN will issue N555.02 billion worth of TBs comprising N23.8 billion worth of 91-Days bills, N116.16 billion worth of 182-Days bills and N415.06 billion worth of 364-Days bills.
In February 2019, CBN will issue N268.7 billion worth of TBs comprising N27.8 billion worth of 91-Days bills, N48.8 billion worth of 182-Days bills and N192.1 billion worth of 364-Days bills.
But the amount of fresh TBs to be issued is N84.87 billion less than the N907.87 billion worth of TBs that will mature and also be repaid during the period, reflecting the FG’s decision to reduce domestic borrowing in favour of foreign borrowing.
The maturing TBs is made up of N59 billion worth of 91-Days TBs, N248.8 billion worth of 182-Days TBs and N678.1 billion worth of 364-Days TBs.