Treasury Bills Auction Sees Strong Demand as Yields Decline
Ghana’s latest treasury bills auction recorded a 17.8% oversubscription, breaking a three-week streak of undersubscriptions. The Bank of Ghana reported that total bids amounted to GH¢6.53 billion, significantly exceeding the GH¢5.54 billion target. Out of the total, GH¢5.97 billion in bids were accepted.
The 91-day bill dominated investor interest, attracting GH¢4.95 billion, which represents 75.82% of all bids. The government accepted GH¢4.58 billion of these bids.
The 182-day bill saw a total tender of GH¢890.81 million, with all bids accepted in full. For the 364-day bill, GH¢689 million was tendered, out of which GH¢499.76 million was accepted.
Interest Rates Fall Across All Maturities
Yields declined sharply across the short-term debt market, signaling increased investor confidence and improved liquidity:
- The 91-day bill yield dropped by 18 basis points to 14.92%.
- The 182-day bill decreased to 15.55%, down from 15.68%.
- The 364-day bill saw the steepest decline, falling 78 basis points to 16.00%.
The results reflect renewed market appetite for government securities, likely driven by improved macroeconomic sentiment and easing inflation expectations.
