Prices of borrowing eased throughout Nigeria’s fixed-income market on Thursday, February 19, 2026, as yields on Treasury Payments, OMO payments, and FGN bonds declined amid strong investor demand.
Market knowledge obtained from totally different secondary market merchants confirmed broad-based yield compression throughout key tenors, signaling cheaper financing prices for the Federal Authorities.
The rally spanned brief, mid and long-term devices, reflecting renewed urge for food for naira-denominated property regardless of comparatively tight liquidity situations.
The event factors to sustained participation by home institutional traders, who proceed to dominate the market, driving the yield development via robust demand.
Treasury Payments led the decline in yields as shopping for stress intensified throughout most maturities. The typical NTB yield fell 14 foundation factors to 17.3%, marking one of many strongest weekly rallies recorded in current classes.
Total, the NTB common yield closed at 17.33%, underlining a broad discount in short-term financing prices and signalling traders’ continued consolation in deploying liquidity into risk-free authorities devices.
The bullish development was not restricted to the secondary market, as decrease cease charges had been additionally noticed on the Central Bank of Nigeria’s NTB public sale earlier within the week, reflecting improved sentiment amongst native institutional traders.
The easing in borrowing prices prolonged to different segments of the fixed-income market, reinforcing the broader rally.
Common yields on OMO payments contracted by 6 foundation factors to twenty.8%, suggesting continued demand for high-yielding central {bank} devices whilst liquidity administration operations stay energetic.
In distinction, Nigeria’s Eurobond market moved in the wrong way. Common yields on dollar-denominated sovereign debt edged up by 1 foundation level to six.90%, indicating barely weaker offshore sentiment, probably influenced by international threat situations and exterior fee expectations.
The broad rally throughout NTBs, OMO payments and FGN bonds alerts renewed investor confidence in Naira-denominated property and has pushed home borrowing prices decrease. The development additionally comes amid expectations that financial situations might resume easing as inflation moderates, doubtlessly paving the way in which for a coverage fee adjustment by the CBN.
Total, home gamers drove vital yield compression throughout a number of tenors, making a supportive surroundings for presidency financing as borrowing prices proceed to development downward on the again of robust market demand.
