Naira appreciates by 4.1%


The naira appreciated by 4.1% to NGN394.30/USD at the I&E window but was flat at NGN470.00/USD in the parallel market.


The overnight lending rate expanded by 67bps to 1.5%, following outflows for CBN’s FX Invisibles & SMEs auction.

Trading in the NTB secondary market was mixed, as the average yield was flat at 0.5%. Similarly, average yield at the OMO secondary market was unchanged at 0.6%.

Trading in the Treasury bonds secondary market was bearish, as the average yield expanded by 20bps to 6.2%. Across the curve, average yield expanded at the short (+2bps) and long (+47bps) end, following sell-offs of the JAN-2022 (+24bps) and APR-2049 (+128bps) bonds, respectively. Conversely, average yield pared at the mid (-2bps) segment, due to demand for the MAR-2027 (-8bps) bond.