Treasury Bills valued at N324.43 billion were sold by the Debt Management Office (DMO) across its auctions in May 2023.
This is according to the FMDQ Markets Monthly Report for May.
The report shows that the value of treasury bills sold represents a 15.41 per cent (N43.33 billion) Month on Month (MoM) increase on the value of treasury bills sold across its auctions in April 2023 (N281.10 billion).
It further noted that the DMO re-opened two (2) 10Y, one (1) 20Y, and one (1) 30Y FGN Bonds worth N545.26 billion in May 2023.
It showed that the total sale represented a 151.46 per cent oversubscription of the amount offered, and a 1.30 per cent (N7.21 billion) MoM decrease on the amount sold in April 2023 (N552.26 billion) for the same FGN Bond maturities.
According to FMDQ, the CBN did not auction DMO Bills in the primary market for the fifth consecutive month in May 2023.
The report showed that , the total value of corporate bonds listed on the FMDQ Exchange in May 2023 was N31.00 billion compared to the previous month which witnessed no listings, adding that in the month under review, the corporate bond listings emanated from issuers in the Financial Services and Oil & Gas sectors, respectively.
It pointed out that consequent upon that, the total outstanding value for corporate bonds increased MoM by 1.71 per cent (N27.50 billion) from N1,609.49 billion in April 2023 to N1,636.99 billion in May 2023,” it noted.
The report stated that the total value of Commercial Papers (CPs) quoted on the FMDQ Exchange in May 2023 was N163.77 billion, representing an MoM increase of 43.32 per cet (N49.50 billion) from the value of CPs quoted in April 2023.
Secondary market turnover on FMDQ Exchange in May 2023, according to the report, was N15.78 trillion, representing an MoM and YoY increase of 25.67 per cent (3.22 trillion) and 2.53 per cent (N0.39 trillion) from April 2023 and May 2022 figures, respectively.
It further noted that foreign Exchange (FX), Money Market (MM), and CBN Bills transactions dominated secondary market activity in May 2023, accounting for 80.25 per cent of the total secondary market turnover and that spot FX market turnover was N2.88 trillion ($6.21 billion) in May 2023, representing an MoM increase of 31.74 per cent (N0.69 trillion) from the turnover recorded in April 2023 (N2.18 trillion).
Exchange rate volatility increased in May 2023 as the Naira traded within an exchange rate range of $/N462.23 – $/N465.13 compared to $/N462.00 – $/N464.00 recorded in April 2023,” it noted.
The report stated that the Fixed Income (FI) market turnover was N6.36 trillion in May 2023, representing a MoM increase of 25.97 per cent (N1.31 trillion) from the turnover recorded in April 2023 (N5.05 trillion).