Nigeria, Feb. 27 -- As the Central Bank of Nigeria (CBN) stepped up its efforts to combat inflation and currency volatility, the Open Market Operations (OMO) sales increased eighteen times a year, signaling investors that conventional monetary policy would be adopted.

According to data from the CBN, the apex bank sold N11.8 trillion in OMO instruments to banks and investors in 2024, a 1,773.7 percent increase compared to the N627.2 billion auctioned in 2023.

The CBN spent N977.7 billion in 2024 to reimburse OMO, 171.3 percent more than the N323.5 billion it spent in 2023.

Central banks utilize OMO sales to manage the financial system's liquidity or money supply. Central banks sell securities (such as treasury bills) to reduce surplus m...