Nigeria’s central bank withdrew about N3.3 trillion from the banking system in June through OMO auctions and Federal Government bond settlement debits, maintaining a tight monetary policy stance. The system still ended the month with a liquidity surplus of about N4.1 trillion, but overnight rates rose, with the OVN at 22.23% and the NOFR reaching 24.00%. Demand at primary Treasury bills auctions remained strong, with subscriptions running about 2.16 times the offer and the 364-day stop rate rising to about 17.34%. The move is negative for naira-denominated local equities and bonds.

Nigeria’s total foreign-exchange market inflows in June fell 20.7% year on year to $3.31 billion, as FX supply from exporters and importers slid 32.5% and inflows from non-bank corporates dropped 30.5%. Foreign portfolio investment also weakened by 13.9%, adding to the broader slowdown. Foreign direct investment rose 37.8% but failed to offset the declines. Analysts said more cautious global risk sentiment and heightened geopolitical uncertainty are weighing on inflows and highlighting the market’s sensitivity to external risk premia.