The government raised slightly more than planned in its latest treasury bills auction, recording a 7.5% oversubscription. The Bank of Ghana’s auction results showed bids worth GH¢2.9 billion, with the government accepting about GH¢2.8 billion. The target had been GH¢2.75 billion.
The 91-day bill was the most popular, attracting GH¢2.07 billion in bids, which was 75% of the total tendered amount. Of that, GH¢1.88 billion was accepted. The 364-day bill drew bids of roughly GH¢877 million, with GH¢498 million accepted. The 182-day bill saw bids of GH¢703 million, and GH¢521 million of those were accepted.
Interest rates across the bills moved lower on the longer end of the curve but held steady on the shortest. The yield on the 91-day bill stayed at 4.69%. The 182-day bill’s yield dropped by 11 basis points to 6.37%. The 364-day bill’s yield fell from 9.98% to 9.83%.
This slight oversubscription suggests steady demand for government debt despite the lower yields on the longer maturities. The government’s decision to accept nearly all bids close to its target indicates confidence in managing its short-term financing needs. The auction results point to a cautious but ongoing appetite for treasury bills from investors.
According to Joy Online.
