Commercial Papers are a form of short-term debt instruments issued by corporations or companies to raise funds to meet short-term obligations.
In Nigeria, the maturity of commercial paper is between a minimum of 15 days to 270 days maximum usually issued at a discount that reflects market interest rates.
The instrument is regulated by the Central Bank of Nigeria and as of June 2023, corporations and organizations have issued a total of 798.30 billion naira worth of commercial papers of which the manufacturing sector has the majority of 41%, followed by the financial services, telecommunication, consumer foods, real estate with 16%, 10% and 2% respectively
Other sectors such as healthcare, Agriculture and Pharmaceutical sectors shared 1% each of issued commercial papers in H1, 2023.
Thoughts?
We won't share your email address. All fields are required.
