Govt surpasses Treasury Bill target, rejects GH¢ 570.64m in bids

The government has gone beyond its Treasury bill target by GHS 550 million, as per the latest auction results from the Bank of Ghana.

While the Treasury bill target was determined to be GHS 6.14 billion, but the total bids reached GHS 7.26 billion. Regardless the oversubscription, the government rejected GHS 570.64 million in bids.

Data shows that for the 91-day bill, GHS 5.32 billion in bids were offered, with GHS 5.21 billion accepted. The 182-day bill received GHS 1.56 billion in bids, out of which GHS 1.29 billion was accepted. For the 364-day bill, GHS 381 million were offered, with GHS 192 million accepted.

Interest rate along the yield curve curve stayed fairly unchanged, ranging from 15% and 18%. The yield on the 91-day bill moved down to 15.32% from 15.45% the previous week. The 182-day bill moved down to 16.03% from 16.18%. The 364-day bill moved down to 18.37% from 18.62%.

The persistent decrease in rates shows the government efforts to lower cost of borrowing. In the next auction, the Treasury is set to increase by GHS 6.32 billion.

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