OBB and OVN rates opened the week at 0.9% and 1.6% respectively from last week’s close of 1.0% and 1.6% as system liquidity rose to ₦1.4tn. On Wednesday, OBB and OVN rates declined to 0.8% and 1.4% respectively as system liquidity lowered to ₦386.3bn. By the close of the week, OBB and OVN rates surged to 4.0% and 4.9% respectively as system liquidity settled at ₦1.1tn.
In the secondary T-bills market, there was a bullish outing as average yield declined 21bps w/w to 1.5%. There was strong demand across the board although, the 182 and 364-day instrument had the most buying interest as yields dipped 30bps apiece. Yield on 91- day instruments also dropped 10bps. Next week, we expect yield to trend lower as OMO and T-bills maturities worth ₦370.0bn and ₦104.9m would hit the system.