Nigeria’s cash market is predicted to obtain roughly N2.499 trillion in inflows throughout the week starting October 12, 2026, with maturing Open Market Operations (OMO) payments accounting for practically all of the projected funds, following a 23.68% decline in banking system liquidity.
This is in keeping with the Financial Markets Dealers Association (FMDA) weekly report dated October 12, 2026, which reviewed market developments by means of October 9 and outlined anticipated inflows for the approaching week.
The projected inflows are 13.1% under the N2.877 trillion estimated for the previous week, whereas banking system liquidity declined to N3.71 trillion from roughly N4.86 trillion.
OMO Maturities dominate anticipated inflows:
OMO maturities are anticipated to supply N2.409 trillion throughout the week, representing roughly 96.4% of the projected N2.499 trillion in whole money-market inflows. This is increased than the N2.168 trillion in OMO maturities recorded within the previous week.
- However, the rise in OMO maturities is offset by a considerable decline in anticipated Treasury invoice maturities, leading to a decrease total influx projection.
- Treasury invoice maturities are projected at N80.84 billion, in contrast with N705.73 billion within the earlier week.
- Corporate bond coupon funds are anticipated to succeed in N4.33 billion, up from N2.82 billion.
- Commercial paper maturities are projected at N4.49 billion, in contrast with N0.13 billion beforehand.
- The earlier week included N10.09 billion in company bond maturities, whereas no such maturities are projected for this week.
The N2.499 trillion projection represents potential gross liquidity injections from scheduled maturities and funds, quite than a forecast of the quantity that may finally stay within the banking system.
CBN auctions drain banking liquidity:
Banking system liquidity declined 23.68% to N3.71 trillion within the week ended October 9, from roughly N4.86 trillion within the previous week, representing a discount of about N1.15 trillion.
- The decline occurred alongside substantial liquidity withdrawals by means of CBN Open Market Operations (OMO) auctions and Treasury invoice issuance.
- The CBN offered N3.31 trillion in OMO devices towards N2.17 trillion in maturities, implying web absorption of roughly N1.14 trillion.
- The Debt Management Office allotted N968.47 billion in Treasury payments towards N705.73 billion in maturities, implying web absorption of N262.74 billion.
- Together, the 2 operations suggest roughly N1.40 trillion in web withdrawals, though this doesn’t equal the reported N1.15 trillion decline in total system liquidity.
The common Treasury invoice yield elevated 30 foundation factors to 18.16%, whereas the typical Federal Government bond yield rose roughly 25 foundation factors to 16.06%.
CBN selections form liquidity outlook:
The outlook for the week starting October 12 will rely largely on how the CBN manages the N2.409 trillion in anticipated OMO maturities. Fresh OMO auctions may soak up a part of the funds, limiting their affect on banking system liquidity and short-term rates of interest.
- FMDA had earlier projected total money-market inflows of N13.25 trillion for October, down 14.82% from N15.556 trillion in September.
- October OMO maturities had been projected at N9.051 trillion, accounting for the biggest element of the month-to-month influx forecast.
- CBN OMO gross sales reached N17.51 trillion in September, demonstrating the size of liquidity administration operations.
- If the CBN absorbs a lot of the anticipated maturities by means of contemporary auctions, funding situations may stay tight and short-term yields elevated.
However, if a bigger proportion of the inflows stays throughout the banking system, liquidity situations may enhance and short-term yields could ease.
The projected N2.499 trillion influx subsequently offers potential liquidity assist, however the precise impact will rely upon subsequent financial operations and different market flows.
