The Central Bank of Nigeria (CBN) withdrew an estimated ₦6.62 trillion in net liquidity from the financial system through its Open Market Operations (OMO) in September 2026.
The CBN sold about ₦17.51 trillion worth of OMO bills during five auctions in September, while approximately ₦10.89 trillion worth of previously issued securities matured and was repaid to investors. This left a net withdrawal of about ₦6.62 trillion from the banking system.
The five OMO auctions were conducted on September 1, 8, 16, 24 and 29. Investor demand remained strong throughout the month, with subscriptions across the auctions reaching approximately ₦27 trillion, compared with ₦18.72 trillion recorded in August.
The CBN uses OMO bills as one of its major tools for managing liquidity. When the central bank sells the securities, investors pay money to purchase them, thereby reducing the amount of cash circulating within the financial system.
However, a significant portion of the liquidity withdrawn through the September sales was returned when older OMO bills matured. About 62 per cent of the new sales was therefore offset by repayments to investors.
The development shows that the CBN is continuing to actively manage liquidity despite the country’s changing interest-rate environment. Strong demand for OMO instruments also suggests that investors remain interested in Nigerian fixed-income assets because of their relatively attractive yields.
At the September 29 auction, for example, a 266-day OMO instrument attracted about ₦4.54 trillion in subscriptions against an initial offer of ₦1 trillion. The CBN eventually allotted approximately ₦3 trillion on the instrument.
Analysts say the high demand is partly linked to the attractive returns available in the fixed-income market, while the CBN’s decision to broaden access to OMO investments has also increased participation.
The latest figures are significant for banks, investors and businesses because changes in system liquidity can influence interest rates, lending conditions and activity across Nigeria’s financial markets.
The CBN’s continued use of OMO securities therefore remains an important part of its effort to control excess liquidity and maintain stability in the financial system.
