Differences Between CBN OMO Bills and The Nigerian Treasury Bills

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Wednesday, November 13, 2019   /12:07 PM  / By CBN / Header Image Credit: Naira Barter

 

 

S/N

Parameters

CBN OMO Bills

NTB

1

Issuer

Central Bank of Nigeria

Central Bank of Nigeria on behalf of Debt Management Office on behalf of the Federal Government of Nigeria

2

Objective/Purpose

Strictly for Liquidity Management to achieve price stability

For financing FGN government budget deficit

3

Periodicity Of Issuance

OMO bills are issued on the need basis and at regular intervals, i.e any business day depending on banking system liquidity position

Auctions are done mostly twice in a month strictly based on quarterly advanced/released calendar

4

Tenor

7 to 365 days

91, 182 and 364-day

5

Obligor

Central Bank of Nigeria

Federal Government of Nigeria

6

Type of Auction

Single bid: Money market dealers can submit only one bid

Multiple bid: Money market dealers can submit several bids

7

Unique Identifier

OMO bills have its own unique identity, separate from other securities or instruments in the money market.

NTBs have its own unique identity, separate from other securities or instruments in the money market.

Source: CBN

 

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