Nigeria to Raise 213.7 Bln Naira in Treasury Bills on March 15

Nigeria plans to raise 213.75 billion naira ($681 million) from short-dated treasury bills at an auction on March 15, the central bank said on Wednesday.

It plans to raise 39 billion naira in three-month debt, 48.45 billion in six-month bills and 126.30 billion in one-year notes, using a Dutch auction system. Payment will be due the day after the auction.

Nigeria’s central bank issues treasury bills twice a month to finance the budget deficit, help manage commercial lenders’ liquidity and curb rising inflation.

Africa’s top crude producer expects its budget deficit to widen to 2.36 trillion naira this year as it tries to spend its way of out of recession with more than half of the deficit to be funded through local borrowing.

The West African country said on Tuesday it plans to sell 1.13 trillion naira worth of treasury bills in the second quarter of the year. ($1 = 314 naira)