- Government raises GHS 5.48 billion, exceeding the GHS 3.86 billion target by 42%
- Institutional investors rush to secure current yields before expected interest rate drops
- Government targets GHS 8.58 billion in the next auction
The government has once again seen strong investor interest in its latest treasury bill auction, with total bids exceeding the target by 42.07%.
According to recent data from the Bank of Ghana, while the government set out to raise GHS 3.86 billion, it ultimately accepted bids amounting to GHS 5.48 billion.
Breaking down the numbers, GHS 4.32 billion was accepted from GHS 4.86 billion in bids for the 91-day bill. For the 182-day bill, GHS 823 million was taken from GHS 1.15 billion, while the 364-day bill saw GHS 343 million accepted out of GHS 774 million in total bids.
Analysts attribute the continued oversubscription to rising institutional demand for treasury bills, as investors aim to lock in current rates before anticipated declines in both interest and inflation.
Meanwhile, yields on short-term instruments have continued their downward trend. The 91-day yield fell by 54 basis points to 10.29%, the 182-day dropped by 87 basis points to 12.35%, and the 364-day yield declined by 106 basis points to 13.24%.
The government plans to raise GHS 8.58 billion in its next auction.
