What are Treasury Bills?
Treasury bills are debt instruments issued by the Central Bank of Nigeria on behalf of the government to provide short-term funding for government expenditure. They are also issued to control the money supply in the economy. T- bills, as treasury bills are often called, are sold through and auction conducted by the CBN
How are T-Bills Sold?
T-Bills are sold as announced by the Central Bank of Nigeria. The CBN announces issues on their websites and national dailies. T-bills can be bought through official dealers. Interested buyers can also speak with their bankers
What is The Tenor for T-Bills?
According to the CBN, T-bills are usually for 91 days, 182 days, and 364 days. The choice depends on how long you want to invest. The Central Bank of Nigeria does not allow automatic rollover of your investment. However, you can give your bank a mandate to roll over the principal on your T-bills upon maturity.
Are T-Bills Safe?
T-Bills are quite safe and are backed by the Federal Government of Nigeria.