The Central Bank of Nigeria, CBN, says it has successfully sold over N1 trillion government security to investors through the Open Market Operations, OMO, instrument.
The CBN normally used the OMO as one of the instruments to mop up excess cash in the economy.
According to the apex bank, there are signs that its monetary tightening measures are beginning to yield positive results considering that N500 billion worth of OMO securities were offered but investors oversubscribed to the tune of N1.053 trillion, with 79 per cent of the total bids, or the equivalent of US$530 million, purchased by foreign investors.
in a statement issued on Sunday by the CBN’s Acting Director, Corporate Communications, Hakama Sidi, the apex bank said investors now have high confidence in the nation’s economy.
The former administration of Muhammadu Buhari reportedly printed close to N30 trillion in local currency which analysts blamed for the spiraling inflation in the country.
The printed notes were partly through the Ways and Means instrument from the CBN.
