The government continues to benefit from robust investor appetite for short-term debt instruments, with the latest Treasury bill auction oversubscribed by approximately GHS 550 million, according to results released by the Bank of Ghana.
Against a target of GHS 6.14 billion, total bids submitted amounted to GHS 7.26 billion. However, the government selectively accepted GHS 6.69 billion, rejecting GHS 570.64 million worth of bids to maintain its cost of borrowing.
The 91-day treasury bill recorded the highest level of interest, attracting GHS 5.32 billion in bids, of which GHS 5.21 billion was accepted.
Meanwhile, the 182-day bill received GHS 1.56 billion in tenders, with GHS 1.29 billion accepted. The 364-day bill saw GHS 381 million tendered, out of which GHS 192 million was accepted.
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Interest rates continued their downward trend across all tenors, reflecting the government’s efforts to moderate borrowing costs.
The yield on the 91-day bill fell to 15.32%, down from 15.45% the previous week. Similarly, the 182-day and 364-day bill yields declined to 16.03% and 18.37%, respectively.
Market analysts attribute the stable demand and declining rates to improved investor confidence and tighter fiscal management. The government plans to issue an additional GHS 6.32 billion in Treasury securities at the next auction.
