The quarter three Nigerian Commercial Paper (CP) market report has revealed that 60 issuers raised N1.51 trillion across 131 commercial paper (CP) series in the first nine months of 2026.

The report released yesterday by the Nigerian Exchange Limited (NGX), revealed that of the 131, seven series valued at N216.1 billion have been listed on NGX, highlighting the potential to bring a greater share of CP activity onto the Exchange.

Commercial paper (CP) is a short-term financial instrument that companies use to borrow money from investors to finance their business operations. It allows a company to raise money for a short period without necessarily taking a conventional bank loan.

Market-wide, N506.4 billion was raised in the third quarter across 46 new series from 28 issuers.

Agriculture accounted for the largest share of quarterly issuance at N226.2 billion (45 per cent of the total), followed by oil & gas at N106.0 billion and financial services at N65.0 billion. Year to date, Agriculture led issuance with N512.7 billion raised between January and September.

According to the NGX, the seven series listed on NGX in 2026 include three originally offered in late 2025, with issuances by Dangote Cement Plc, NGN Gram Limited, MeCure Industries Plc, Coleman Technical Industries Limited and Advans La Fayette Microfinance Bank Limited, led by Dangote Cement Plc (N119.9 billion) and Coleman Technical Industries Limited (N66.0 billion).

Commenting on the report, Chief Executive Officer, Nigerian Exchange Limited, Jude Chiemeka, said: “Nigeria’s commercial paper market presents a significant opportunity to expand short-term financing for businesses and deepen the role of the capital market in corporate funding.

“At NGX, we are focused on building our position as a venue for commercial paper listings by enhancing market visibility, promoting transparency and working closely with issuers, financial advisers and institutional investors.

“As issuance activity grows, our priority is to attract more commercial paper listings to the Exchange, broaden investor access and strengthen the contribution of the listed market to Nigeria’s capital formation.”

Market conditions also evolved during the quarter as the 364-day Treasury bill stop rate fell to 15.89 per cent from 17.34 per cent in Q2, while the Central Bank of Nigeria (CBN) reduced the Monetary Policy Rate by 350 basis points to 23 per cent on 22 September 2026.

Headline inflation declined to 14.63 per cent in September, although the average CP discount rate rose to 19.35 per cent in Q3 from 19.02 per cent in Q2.

The report anticipated that lower benchmark yields could begin to feed through to CP pricing in Q4 as maturing obligations are refinanced.

With 27 CP series, according to the report, issued by 23 companies falling due in the fourth quarter, refinancing presents an opportunity for issuers to reassess their funding options and for NGX to attract additional listings.

Head of Trading and Products, Nigerian Exchange Limited, Abimbola Babalola, said the N1.51 trillion raised in the first nine months of 2026 underscores the importance of commercial paper in meeting the short-term financing needs of Nigerian businesses.

He said the next phase of market development should focus not only on sustaining issuance but also on expanding listings, improving market visibility and encouraging broader investor participation.