Central Bank of Nigeria cancels N700bn Treasury bills auction

The Central Bank of Nigeria (CBN) has cancelled a planned N700 billion Treasury bills auction originally scheduled for August 5, 2026. The decision follows a significant tightening of liquidity in the banking system.

In two consecutive sessions, the CBN absorbed approximately N4.69 trillion from the financial system through Open Market Operations (OMO). This included N2.52 trillion through a 141-day OMO bill on August 3, and a combined N4.29 trillion through 112-day and 113-day bills on August 4.

Market participants suggest the cancellation was intended to prevent additional pressure on available funds following these massive liquidity withdrawals. The paused auction was part of a larger N5.8 trillion Treasury bills issuance program for the third quarter of 2026. While the specific N700 billion auction was shelved, the CBN and the Debt Management Office have indicated that other scheduled auction dates for the quarter remain unchanged.