The Monetary Policy Committee (MPC) of the Central Bank met yesterday and decided to raise the Central Bank Rate (CBR) by 75bps to 9.50%. The Committee noted the sustained inflationary pressures, the elevated global risks and their potential impact in our economy, and concluded there was need for further tightening of the monetary policy to anchor inflation expectations. Attached is the Press Statement from the MPC for your perusal. For additional colour, here is a link to the CBK Governor’s press conference to begin at 11.00 a.m. today; https://www.youtube.com/watch?v=gUoCqJgQH0Y. For your trading activities ahead, below is a snapshot of what is at play within the secondary market for your consideration. Happy hunting!
Below are the two-way quotes for the benchmark tenors:
Indicative Two-Way Quotes - Benchmark Tenors
Benchmark Tenor
Bid (%)
Offer (%)
Mov (t-t0)%
1Yr
11.00
10.50
0.00
2Yr
12.80
12.50
0.00
5yr
13.75
13.70
0.00
10yr
14.20
14.10
0.00
15yr
14.20
14.00
0.00
20yr
14.10
13.90
0.00
25yr
14.35
14.20
0.00
Below are details of the two-way quotes for the infrastructure bonds and the key rates:
Indicative Two-Way Quotes - IFB Series
IFB series
Maturity
Bid (%)
Offer (%)
Mov (t-t0)%
IFB1/2017/7 (IFB13)
Nov-24
13.00
12.50
0.00
IFB1/2016/9 (IFB10)
May-25
13.00
12.70
0.00
IFB1/2015/12 (IFB8)
Mar-27
13.00
12.50
0.00
IFB1/2017/12 (IFB12)
Feb-29
13.00
12.50
0.00
IFB1/2016/15 (IFB11)
Oct-31
13.50
13.00
0.00
IFB1/2018/15 (IFB14)
Jan-33
14.00
13.50
0.00
IFB1/2018/20 (IFB15)
Oct-38
13.80
13.50
0.00
IFB1/2019/25 (IFB16)
Feb-44
14.00
12.90
0.00
IFB1/2019/16 (IFB17)
Oct-35
13.70
13.50
0.00
IFB1/2020/9 (IFB18)
Apr-29
13.20
12.70
0.00
IFB1/2020/6 (IFB19)
May-26
12.30
12.00
0.00
IFB1/2020/11 (IFB20)
Aug-31
13.70
13.50
0.00
IFB1/2021/16 (IFB21)
Jan-37
13.75
13.60
0.00
IFB1/2021/18 (IFB22)
Mar-39
13.85
13.60
0.00
IFB1/2021/21 (IFB23)
Aug-42
14.20
13.80
0.00
IFB1/2022/19 (IFB24)
Jan-41
13.90
13.50
0.00
IFB1/2022/18 (IFB25)
May-40
13.80
13.70
0.00
IFB1/2022/14 (IFB26)
Oct-36
13.80
13.70
0.00
IFB1/2022/6 (IFB27)
Nov-28
13.20
13.15
0.03
IFB1/2023/17 (IFB28)
Feb-40
14.40
14.35
0.00
Key Interest Rates
Mov (bps)
O/N Interbank
7.5484%
8.29
91 Day T-bill
9.829%
4.90
182 Day T-bill
10.344%
5.90
364 Day T-bill
10.787%
1.00
Central Bank Rate (CBR)
9.50%
75.00
Inflation
9.23%
25.00
Attached are the Monetary Policy Committee (MPC) and the April 2023 Bond Auction prospectus.
