The Central Bank of Nigeria, CBN, has scheduled the sales of Treasury Bills, TBs worth N809.4 billion for the third quarter 2019, Q3’19. This is made public in the bank’s latest Nigeria Treasury Bills Issue programme which was released last weekend.

Treasury Bills are short term debt instruments used by the CBN to borrow money on short term (less than one year) from the general public on behalf of the federal government of Nigeria. The apex bank also uses Treasury Bills to control the supply of money in the economy. The duration of TB issue programme is from June 13 to August 29, 2019.

During this period, the CBN will issue Treasury Bills worth N80.62 billion on 91 days tenor, N154.04 billion on 182 days and N574.71 billion on 364 days. A further breakdown of the programme disclosed that in June 2019, the central bank plans to sell N147.25 billion worth of Treasury Bills, which comprises of N8 billion worth of 91 days bills and N139.25 billion worth of 364 bills. In July, the bank will sell N195.91 billion worth of Treasury Bills, comprising N15.9 billion worth of 91 days bills, N46.6 billion worth of 182 days bills, and N133.46 billion worth of 364 days bills.

Finally, in August, the CBN plans to sell N446.2 billion worth of TBs comprising N36.77 billion worth of 91 days bills, N107.43 billion worth of 182 bills and N302 billion worth of 384 days bills.

At what rate? Make I start to look for money to buy.

AroOkigbo:
At what rate? Make I start to look for money to buy.

Baba abeg can U explain to me how it works... I'm interested

Nbote:


Baba abeg can U explain to me how it works... I'm interested

For ease of calculation, let's say you have #1m to invest for 1 year at 12% per annum.
Get into your bank and fill out the TBills form.
If you are successful after the bid, your bank will debit (from your account) the investment capital.
Good thing is that your interest is paid upfront.

So, in the case of #1m investment at 12% interest per annum, your bank will deduct 880k (leaving out the 120k interest).

At the end of the investment period (1 year), you'll get your #1m paid back in your account.

AroOkigbo:



For ease of calculation, let's say you have #1m to invest for 1 year at 12% per annum.
Get into your bank and fill out the TBills form.
If you are successful after the bid, your bank will debit (from your account) the investment capital.
Good thing is that your interest is paid upfront.

So, in the case of #1m investment at 12% interest per annum, your bank will deduct 880k (leaving out the 120k interest).

At the end of the investment period (1 year), you'll get your #1m paid back in your account.

Thanks a lot... It'll have to depend on d rate to make it worth ur while