AI agents for business finance: what they can and can't do
What AI agents can do in bookkeeping, close, collections and compliance today, where a person must stay in charge, and how to judge a product.
The short answer
When a Nigerian Treasury bill matures, the face value is paid into your account with the bank or dealer that holds it, unless you have told it in writing to reinvest. To roll over from the US, send your bank a signed instruction before maturity naming the amount and the new tenor (91, 182 or 364 days); Stanbic IBTC, for example, asks for instructions by email to your relationship manager. Withholding tax now applies to T-bill interest, so check the net figure with your bank.
What happens at maturity
A Nigerian T-bill is sold at a discount and repaid at its face value (par) on the maturity date, as FirstBank's Treasury bills page describes. The difference is your return. Primary tenors are 91, 182 and 364 days. On maturity, the bank that bought the bill for you credits the face value to your naira account with it. Nothing is reinvested unless you have given an instruction to do so.
New bills are issued at CBN primary auctions. Stanbic IBTC's T-bill FAQs say primary auctions hold every two weeks on Wednesdays unless the CBN advises otherwise. Banks also sell bills of other remaining tenors on the secondary market, which is often how a maturity is reinvested quickly. How auctions set the rate is explained in how T-bill auctions work in Nigeria.
Rollover or redeem: the choice
| Option | What happens | Use it when |
|---|---|---|
| Roll over | Bank reinvests the maturity value (or principal only) in a new bill | You do not need the naira and the new rate suits you |
| Redeem | Face value is credited to your naira account | You need the money, want to convert it, or want to move it elsewhere |
| Part roll, part redeem | Reinvest a set amount, credit the rest | You want to take out the interest and keep the principal invested |
Rates change at each auction. At the 7 October 2026 auction, stop rates were 15.50% for 91 days, 15.80% for 182 days and 15.85% for 364 days, per Nairametrics. Treat those as a snapshot; your bank quotes the rate available on the day.
How to send instructions from the US
- Find your maturity dates. Ask your bank for a statement of your T-bill holdings with face value and maturity date for each.
- Check the bank's instruction method. Stanbic IBTC's FAQs describe a letter of instruction by email to the relationship manager, copied to its investment inbox, stating the amount and tenor. UBA's guide describes a letter of interest and debit authority. Ask your own bank what it accepts from a customer abroad.
- Send it early. Aim for at least a week before maturity, so the instruction is processed before the bill matures.
- Ask about standing instructions. Some banks will roll over automatically on a signed standing instruction. Confirm in writing whether yours does, and how to cancel it.
- Get written confirmation. Ask for a contract note or confirmation showing the new face value, discount rate and maturity date.
Keep the email address and phone number on your Nigerian account current. A bank that cannot reach you to confirm a large instruction may hold it back.
Withholding tax on T-bill income
T-bill returns are no longer tax-free for individuals. Advocaat Law Practice (via Mondaq) reports that the tax authority directed financial institutions to deduct 10% withholding tax on interest from short-term securities including T-bills, and KPMG's December 2025 note confirms deduction on the payment date, while interest on FGN bonds remains exempt. Ask your bank how it applies the deduction on maturity and how it shows it on your statement.
Worked example (illustrative figures)
You hold a 364-day bill with a face value of ₦10,000,000 bought for ₦8,600,000. The discount, ₦1,400,000, is your interest. If 10% is withheld, ₦140,000 is deducted and you receive ₦9,860,000 net. Rolling over the net sum at a new discount rate gives a new face value your bank will quote. Figures are for illustration; your bank calculates the actual amounts.
If you want the money out instead
Redeeming is simply not rolling over: the face value lands in your naira account on maturity, net of any withholding. If you want to sell before maturity, banks and dealers buy bills back on the secondary market at the day's rate, which may be higher or lower than your purchase rate; the FirstBank page describes secondary tenors from 7 to 363 days. Ask for the quote in writing before you agree.
The US side
As a US person you report the income on your US return in dollars, and the account holding the bills may count toward FBAR and Form 8938 thresholds. Whether the interest is taxable in the US, and how, is covered in is interest on Nigerian T-bills taxable in the US.
Where Pryme fits
If you redeem rather than roll over, you can move the naira to a Pryme Personal Account, which holds naira with Nigerian account details alongside US dollars, and keep it in naira or convert with Swap when you choose. The app shows the rate and fee before you approve. See multicurrency accounts.
Questions people ask
How do I roll over my treasury bill in Nigeria from abroad?
Send your bank a signed written instruction before maturity with the amount and new tenor, by the method it accepts (often email to your relationship manager), and get a confirmation.
What happens if I do nothing when my T-bill matures?
The face value is normally credited to your account with the bank. Check whether you have a standing rollover instruction in place.
Is there tax on Nigerian T-bills now?
Yes. Withholding tax is now deducted on interest from short-term securities including T-bills; FGN bond interest remains exempt. Ask your bank for the net figure.
How often are T-bill auctions held?
Stanbic IBTC's FAQs say every two weeks on Wednesdays unless the CBN advises otherwise. Banks also sell bills on the secondary market.
Sources
- FirstBank: Treasury bills · accessed Oct 2026
- Stanbic IBTC: Treasury Bills FAQs (PDF) · accessed Oct 2026
- UBA 57 Marina: How to invest in Treasury bills in Nigeria (Nov 2022) · accessed Oct 2026
- Nairametrics: DMO raises N968.47 billion as 364-day stop rate falls to 15.85% (7 Oct 2026) · accessed Oct 2026
- Mondaq (Advocaat Law Practice): FIRS imposes 10% withholding tax on interest on short-term securities · accessed Oct 2026
- KPMG TaxNewsFlash: Nigeria guidance on withholding tax on interest from short-term securities (Dec 2025) · accessed Oct 2026
This article is general information, not financial, legal or tax advice. Products described are provided under the terms on this site and are subject to regulation and eligibility.