The Central Bank of Nigeria (CBN), on behalf of the Debt Management Office (DMO), has announced plans to raise ₦700 billion through the third and final Nigerian Treasury Bills (NTBs) primary market auction for July 2026.
According to the CBN’s invitation to tender, the auction is scheduled to hold on Wednesday, July 29, 2026, using the Dutch auction system, with Treasury Bills offered across three maturities: 91-day, 182-day and 364-day tenors.
The apex bank has allocated ₦100 billion for the 91-day bills, ₦100 billion for the 182-day bills, and ₦500 billion for the 364-day bills, reflecting its continued preference for longer-dated instruments in its debt issuance strategy.
The CBN directed all authorised Money Market Dealers to submit bids electronically through its S4 Web Interface between 8:00 a.m. and 11:00 a.m. on the auction date.
Each bid must be submitted in multiples of ₦1,000, subject to a minimum subscription of ₦50,001,000. Dealers are permitted to submit multiple bids either on their own behalf or on behalf of institutional and retail investors.
The results of the auction are expected to be announced on the same day, while allotment letters will be issued on Thursday, July 30, 2026. Successful bidders are required to make payment to the CBN not later than 11:00 a.m. on the allotment date.
However, the apex bank noted that it reserves the right to reject any bid or adjust the amount on offer depending on prevailing market conditions.
Under the Dutch auction system, investors specify both the amount they wish to invest and the yield they are willing to accept. The CBN then allocates Treasury Bills beginning with the lowest yield bids until the total amount on offer is fully subscribed.
This means investors who bid at lower yields stand a better chance of receiving full allotment, while bids with higher yield demands may be partially allotted or rejected. The highest accepted yield, known as the stop rate, becomes the uniform yield paid to all successful bidders for that tenor, regardless of the individual rates they initially bid.
The S4 Web Interface, formally known as the Scripless Securities Settlement System, serves as the CBN’s electronic platform for the issuance, allotment and settlement of government securities. Similar to the role played by the Central Securities Clearing System (CSCS) in the equities market, the S4 platform maintains ownership records and facilitates secure electronic settlement of Treasury Bills.
While only authorised Money Market Dealers can submit bids directly through the S4 platform, individual investors and non-dealer institutions can participate in the auction through these licensed dealers, who act as intermediaries and custodians on their behalf.
The CBN has increasingly relied on mandatory electronic bid submissions in recent auctions as part of efforts to improve transparency, minimise manual processing errors and enhance efficiency in the government’s domestic debt issuance programme.
The latest auction is expected to attract strong investor interest amid sustained demand for government securities and the continued attractiveness of Treasury Bills as a relatively low-risk investment option.
