2007-12-21 | TED/FEM/FPC/GEN/01/001

CBN Classifies FGN Bonds As Liguid Assets

The Central Bank of Nigeria (CBN) has classified all Foreign Government Bonds (FGN) actively traded on the secondary market as liquid assets, regardless of tenor. This decision aims to deepen financial markets and enhance benchmarking against international best practices. Liquid assets will now qualify for deposit money banks' (DMBs) liquidity ratio calculations and serve as collateral for lending/repo at the CBN window. The change takes immediate effect and the CBN retains discretion over the maturity classes it will admit for its monetary operations.

Nigeria

Central Bank of Nigeria

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