olujaidi:
https://tribuneonlineng.com/cbn-says-nigerian-companies-individuals-free-to-buy-treasury-bills/

chloride6:


Naso...

Era of free money is gone..

Goan buy stock...

OgogoroFreak:
We lend our money to government to pay back with little interest. You call that FREE money?

Why not try to get a loan even to pay back with high interest and see how difficult it would be.

chloride6:


Well goan and give someone else your money..

Govt doesn't want to borrow expensive money again..

OgogoroFreak:
How old are you sef?

aremso:


needles of the arguments plus!

DeSepiero:


He's trying to encourage you and I, and other insitutional investors to invest in the real economy. Following this move, I expect the rates to go lower.
Our TBills rates are among the highest.

chigo4u:

They are both capital intensive

IamR:

I am ready sir. In fact, I am in Lagos now. The moment I read the news this morning, I lost my appetite. I couldn't even eat the refreshment Airpeace served me.

ahiboilandgas:
the money we are investing is coming from the real sector ...abi na from tree we dey pluck am.....a fleet of 20 trucks is enough real sector na ...other are working and earning and investing in tb....others are using the interest from t.b to build houses ,pay school fees ,buy food stuff ....indirectly creating jobs and stimulating the economy......cbn gov na idoit

OgogoroFreak:
How old are you sef?

chloride6:


Old enough to know that high interest rates were strangling our economy..

American Citizens work hard for their money and their TBills rate is 1.5%

In Japan and Europe it's worse, their interest rates are negative..

chigo4u:

Value of America dollar vs naira?
American inflation rate vs Nigeria?

RealityShot:

and i found THIS!

https://www.namibian.com.na/187547/archive-read/Longrich-is-illegal-and-must-stop---BoN

JUST LIKE MMM, gnld etc

bye!

ahiboilandgas:
example if na 15 your yearly profit is 7.5m paid twice 3.75m is credited to your account ever six month for 5 years or 10 years (duration of the bond )...the difference is t.b is off front while bond like fixed deposits credit is bi annually or quartyly (saving bond ) ....which this 5 years out to worry about cbn and rate ...just be reinvesting the coupons in mmf or tb or fixed deposit and continue your work

Akin3891:


So for example, if my total intrest for 5 yrs is 25 mils. I will receive 2.5 mils every six months for 5 yrs circle,. For 25 mils investment on FG saving bond will be paid quarterly, 1.250 mils per quarter. Correct? Can one buy bonds directly from the bank or is it only investments house that issue them? Thanks

ahiboilandgas:
Block ,4000@140,decking 1 .5m cement 200 bags @2600,p.o.p 700k window 600k roofing 400k ,roofing sheet 300k ,plaster 200k ,wiring 300k ,tile 1m ,doors 1m,labour 35 per block x4000 ,dpc 400 k digging foundation 100k ,iron road 2 tonne 12mm 400k ,iron bender labour 100k ,bore hole 400k ,over tank 300 ,plumber 300k ,kicheten cabinet 300k ,toilets w/c plus fixing 4 unit 300k painting 300k ,Screeding 200k ,interlock 300k gate 200k bard wire 150k ,burglar 300k hand rails 200k ,lighting 300k ....wetin remain na.....

DaBogu:
Nike Popoola

The Central Bank of Nigeria has given a directive to banks and other financial institutions to stop the sale of treasury bills to individuals and small firms with effect from November 29.

Some bank officials who disclosed this to The PUNCH said only big corporate organisations would be allowed to do treasury bills investments.



Our correspondents learnt that banks were already notifying their customers of the new directive.

The sources, however, said the existing treasury bills investments would be allowed to continue till the end of their maturity dates.

A bank official said, “Operators are trying to see if the November 29 deadline given for the implementation by the CBN could be extended, so as to create enough awareness. But there is no move for the reversal of the directive.”

An operator said the inaccessibility of treasury bills might lead to an increase in savings deposits of the banks, attracting interest rates below what the treasury bills offered.


A source from the CBN said the move was to stop the mop-up of funds from the system through the treasury bills.

He said, “Many people with huge cash prefer to keep their funds idle in treasury bills instead of investing the funds. Some people collect huge severance package, have huge funds but they have refused to invest the money.

“We want these funds to be useful in the economy so that they will be available in the banks and can be invested to create more jobs in the country.”



He noted that the CBN had increased the Loan to Deposit Ratio of the banks from 60 per cent to 65 per cent.

healthserve:
While the Emefiele-CBN's directive is to limit funds in the system for alternative purposes I.e investing in the real economy/sector, its the 21st century and Nigerians being smart will exploit the loopholes.

Since the CBN limits dealing in T-bills to big organizations, its only a matter of time before these " big organizations " create their own banking system to collect funds from individuals and invest them on their behalf.

The obvious alternative is investing in other economies, but then its an excellent move to me by Emefiele. Real Sector Investors helps to create more jobs and promotes circulation of wealth/money better.

Its only a matter of time to address the dichotomy between the digital economy and the real economy. Good move CBN. For once, I'm proud of Emefiele.

odimbannamdi:


I agree

bendo75:
Folks be careful how you divulge information about your financial status in this forum. The fake news from punch about CBN blocking individuals from buying treasury bills has really revealed the minds of some in this channel. Not everybody who comes here is happy that you are making money by investing your sweat in treasury bills. It really baffles me that someone in this forum thinks that profits from treasury bills are free money.

needful:
Thank you for contacting Afrinvest Securities Limited.



The minimum for secondary market FGN Bonds purchase through Afrinvest is N20,000,000.00 (based on availability of the bond)



There is no maximum. Please see the indicative bond rates that traded today in the secondary market:



Bond

Tenor (Years)

Yield (%)

Coupon (%)

Implied Price (N)

Jul-21

2

12.35

14.50

103.15

Jan-22

3

12.05

16.39

108.20

Apr-23

4

12.28

12.75

101.29

Mar-24

5

11.98

14.20

107.33

Mar-25

6

12.24

13.53

104.95

Jan-26

7

12.70

12.50

99.11

Mar-27

8

12.55

16.29

117.59

Feb-28

9

12.70

13.98

106.40

Jul-34

15

13.07

12.15

94.00

Mar-36

17

13.16

12.40

94.90

Apr-37

18

12.90

16.25

123.02

Apr-49

30

13.48

14.80

109.57



You can also buy FGN Bond through a primary market auction. The minimum for this is N100,000,000.00 .



The Q4:2019 schedule is also attached and the next auction is slated for 20-Nov-2019.

I made enquiry from afrinvest and above was what they sent to me. pls can someone clarify difference between coupon and yield. assuming i put in 500,000 at a coupon of 16.29% and a yield of 12.46% for 2yrs. what will be my yearly interest payment and at the maturity, will the capital still be N500k?.

Thanks.

DaBogu:
Nike Popoola

The Central Bank of Nigeria has given a directive to banks and other financial institutions to stop the sale of treasury bills to individuals and small firms with effect from November 29.

Some bank officials who disclosed this to The PUNCH said only big corporate organisations would be allowed to do treasury bills investments.
Ok


Our correspondents learnt that banks were already notifying their customers of the new directive.

The sources, however, said the existing treasury bills investments would be allowed to continue till the end of their maturity dates.

A bank official said, “Operators are trying to see if the November 29 deadline given for the implementation by the CBN could be extended, so as to create enough awareness. But there is no move for the reversal of the directive.”

An operator said the inaccessibility of treasury bills might lead to an increase in savings deposits of the banks, attracting interest rates below what the treasury bills offered.


A source from the CBN said the move was to stop the mop-up of funds from the system through the treasury bills.

He said, “Many people with huge cash prefer to keep their funds idle in treasury bills instead of investing the funds. Some people collect huge severance package, have huge funds but they have refused to invest the money.

“We want these funds to be useful in the economy so that they will be available in the banks and can be invested to create more jobs in the country.”



He noted that the CBN had increased the Loan to Deposit Ratio of the banks from 60 per cent to 65 per cent.

zamirikpo:
I was with the branch manager of stanbic ibtc asaba branch today and he has no knowledge of this new cbn policy.

Even if its true it's an inner caucus plan....no publication or circular to that effect .

Let's keep our finger crossed.......

My question is that was @dipoolowoo quoting punch newspaper or businessday or both.

chigo4u:
So Dangote is now venturing into rice business without completing the refinery. I remember arguing with some people earlier on this thread that the refinery will not be completed any time soon. I wouldn’t know his priority right now.
Also it looks like Dangote is the unofficial president of Nigeria

If the CBN stop individuals and small business from NTB, it will have both positive and negative impact.

If individuals and small business are unable to buy NTB it may lead to increase in saving deposits, thereby making interest rate below what NTB offers
Fixed deposit rates will definitely head south as individuals will try to lock funds in other alternatives-meaning cost of fund for banks will reduce
Stock brokering house will benefit because individuals because individuals who can't afford to give money to banks @ 3-6% would consider investing NTB through some of this stockbroking houses who can buy from banks and big corporation depending on size and volume
Bonds will see bullish sentiment as people will tend to pick the best available yield-Businessday Friday 6th November 2019

DaBogu:
So all this border closure and war against rice was just so Dangote would swoop in and start selling us overpriced rice.
Is the expensive cement not enough?