The Nigerian government plans to sell N1.13 trillion (about $3.70 billion) worth of treasury bills between March 16 and June 1, a Central Bank of Nigeria, CBN, debt calendar has shown.

The bank aims to auction N243 billion in 91-day bills, N198 billion in 182-day and N689 billion in 364-day debt.

The Central Bank, Reuters News Agency says, sells treasury bills twice a month to help fund the government’s budget deficit and support commercial banks in managing liquidity.

In February, the federal government had said it would raise N142.43 billion (about $453.60 million) from the issuance of short-term treasury bills.

The treasury bills are to fund the national budget deficit, manage banking system liquidity squeeze and curb rising inflation in the economy.

With an outlay of N7.298 trillion, the 2017 budget has an overall projected fiscal deficit of N2.36 trillion (about 2.18 per cent of GDP), with half of it funded through domestic borrowings.

The Minister of Budget and National Planning, Udoma, had said the deficit would be financed mainly by borrowings, projected at N2.32 trillion, consisting of external sources (N1.067 trillion, or 46 per cent) and domestic sources N1.25 trillion.

During a consultative meeting with the private sector in February, Mr. Udoma had noted that the federal government was targeting at least seven per cent growth in the economy by 2020, amid efforts to lift the country out of its first recession in 25 years.