The Central Bank of Nigeria (CBN) allotted approximately N12.823 trillion at four Open Market Operations (OMO) auctions in September 2026, as investors submitted a combined N20.58 trillion in bids against just N3.9 trillion offered.
Nairametrics’ analysis of the CBN’s September OMO auction results from September 1, 8, 16 and 24 shows that investor appetite remained strong throughout the month despite rates shifting decisively lower, particularly in the final week.
The remarkable takeaway from the September OMO auctions was the sharp decline in stop rates, as accepted rates on longer-tenor instruments fell by 170 basis points over the course of the month.
Across the four OMO auctions, investor demand consistently exceeded the amounts offered by wide margins. Cumulative subscriptions reached N20.58 trillion against N3.9 trillion offered, representing demand of about 5.28 times the amount on offer.
Overall, successful allotments stood at approximately N12.823 trillion, equivalent to about 3.29 times the total amount offered and 62.3% of cumulative investor bids.
The clearest pricing trend across September was the decline in rates on the CBN’s longer-tenor instruments, from 18.99% at the beginning of the month to 17.29% by the final auction. Investor demand remained concentrated in the longest-dated securities even as their rates declined.
Nearly two-thirds of the 170-basis-point decline occurred in the final week, coinciding with the Monetary Policy Committee’s 350-basis-point reduction in the benchmark rate to 23% at its September 22 meeting.
Despite declining rates, demand remained strong, with September’s N20.58 trillion in OMO subscriptions representing the highest level recorded so far in 2026.
September’s OMO activity extends a broader pattern of heavy subscriptions to CBN OMO and Treasury Bills auctions during 2026. The apex bank collectively took out a cumulative N20.96 trillion through OMO and Treasury Bills auctions in September alone.
With rates falling sharply heading into October and demand still running several multiples above stated offers, upcoming OMO and NTB auctions will show whether the lower-rate environment coincides with a moderation in investor appetite for the CBN’s liquidity-mop-up instruments.
