Nigerian interbank rates flat, seen up next week

Nigeria's interbank lending rates were flat on Friday, trading at an average of 11.12 percent, the same level they closed at last week, but they are expected to climb next week as some liquidity exits the banking system to fund cash reserve requirements.
Traders said although overnight placement eased marginally by 25 basis points, the Open Buy Back (OBB) climbed by some 25 basis points, compared with the level they each closed at last week.
The retirement of matured Open Market Operations (OMO) was matched by sales of additional 150.5 billion naira debt notes on Wednesday.
"We see rates inching up next week because of planned debit of cash reserves requirements, funding for treasury bills and foreign exchange sales," one dealer said.
The open buy-back (OBB) rate climbed to 11 percent, from 10.75 percent, 100 basis points below the central bank's benchmark interest rate of 12 percent.
Overnight placements however, eased to 11.25 percent compared with 11.50 percent last week.