Q: What is a Treasury Bill auction?
Warren Oluwasanya
Last Update setahun yang lalu
In the primary market, the CBN conducts T-Bills auction usually every fortnight and requests investors to quote the rates they are willing to pay on the different tenors of T-bills usually 91- day, 182-day and 364-day instruments. At the auction, the maximum rate at which the CBN is willing to sell is called the stop rate. Any investor that quotes below or at that rate gets the amount quoted and at the individual rate and any investor that quotes above the stop rate is bided out.