Investors Cash In On Higher Yields As Fixed‑income Trades Rise To N10.5trn

The Nigerian fixed-income market recorded trades valued at N10.51 trillion last week, a 30 per cent rise from the previous week.

Data from the CBN showed that for the week ended August 21, 2026, trades rose to N8.10 trillion, up from N8.09 trillion recorded in the week ended August 14, 2026. Last week, Open Market Operations (OMO) bills continued to dominate trades, accounting for more than 72 per cent of total transactions.

The Fixed Income Dashboard showed that, compared with a total of 2022 trades recorded in the week ended August 14, 2,512 trades were executed last week across OMO bills, Treasury Bills, Federal Government bonds, and Sukuk.

Last week, the face value of transactions stood at N10.508 trillion, as against N8.094 trillion recorded in the previous week. Trades in OMO bills continued to dominate, accounting for 72.6 per cent of the trade value with N7.633 trillion.

This is higher than the N6.01 trillion trade value that was recorded in the week ended August 14. In terms of trade value, Treasury Bills followed with N1.46 trillion, accounting for 13.9 per cent, while FGN Bonds recorded N1.41 trillion, representing 13.4 per cent of total transactions. This is against N1.5 trillion and N571.648 billion that were recorded for treasury bills and FGN Bonds in the previous week.

Sukuk continued to account for the smallest share of trading activity, with a face value of N8.03 billion, down from N12 billion recorded the previous week.

In terms of the number of trades, OMO bills continued to lead with 1064 trades last week, compared to 920 the previous week, while FGN Bonds followed with 800 trades, higher than the 326 recorded the previous week.

Treasury Bills also recorded 642 trades last week, lower than 773 trades that were recorded the previous week, while Sukuk trades rose from three to six.  The dashboard showed that 29 participants were recorded in the market during the period, with 26 each recorded for OMO Bills and Treasury Bills, 22 for FGN Bonds, and 3 for Sukuk.

Meanwhile, yields across the fixed income market showed mixed movements across different maturities. The closing yield on OMO instruments stood at 21.76 per cent at the shorter tenor before declining to 19.87 per cent at the one-year tenor. Treasury Bills, on the other hand, recorded closing yields of 16.84 per cent and 20.76 per cent across the two tenors reflected on the dashboard, indicating a higher yield at the longer maturity.

The FGN bond market also recorded varying yields across maturities, with rates generally moving within the range of about 14.70 per cent and 17.82 per cent across the tenors displayed. The market data showed that yields on some longer-dated FGN bonds moderated during the period, with the 27-year tenor recording a closing yield of 14.70 per cent.

The 23-year tenor recorded 15.25 per cent, while the 19-year tenor stood at 15.98 per cent. At the shorter end of the FGN bond curve, the closing yield was 17.10 per cent at the one-year tenor and 17.08 per cent at the two-year tenor.