Central Bank of Nigeria Governor Yemi Cardoso has introduced a record 29.87% yield on one-year treasury bills in a bid to attract investor interest amidst a challenging economic climate.

This high yield aims to offset the impact of inflation and currency devaluation, providing investors with a more stable financial instrument in the face of volatile stock and forex markets. The move is part of the CBN’s broader strategy to stabilize the economy, support the Naira, and curb inflationary pressures.

Cardoso’s approach reflects efforts to improve the appeal of government securities as a viable investment option. By offering such competitive rates, the CBN seeks to draw in both local and foreign investors who might otherwise be cautious about the Nigerian market’s current uncertainties.

Analysts believe this measure, while beneficial for short-term returns, could have mixed effects on inflation management and lending costs, given Nigeria’s high-interest environment.

LEAVE A REPLY

Please enter your comment!
Please enter your name here