The naira was set for its best week in three after the last Nigerian bond and central bank foreign- exchange auctions for the year held this week.
The currency of Africa’s biggest oil producer was unchanged at 157.2 a dollar at 11:30 a.m. in Lagos, the commercial capital. The naira has risen 0.3 percent this week, according to data compiled by Bloomberg.
Nigeria’s 10-year borrowing costs declined to the lowest ever at the last auction two days ago. The 30 billion naira ($190 million) of bonds due January 2022 were sold at a marginal yield of 11.9001 percent, a record low. The Central Bank of Nigeria sold $300 million the same day at its last foreign- currency auction of the year, the most at a single sale since Aug. 8, according to data compiled by Bloomberg.
Yields on 10-year naira debt were unchanged at 11.89 percent in the secondary market, according to yesterday’s prices compiled on the Financial Markets Dealers Association website. Borrowing costs on the nation’s $500 million of Eurobonds due January 2021 declined one basis point to 4.09 percent today, retreating four basis points this week.