For the fourth consecutive week, the government has reported a slight oversubscription in its latest treasury bills auction. This trend is driven by rising interest rates, which seem to be boosting demand for short-term debt instruments.
In last week’s auction, the government successfully raised GH¢4.1 billion, exceeding its target of GH¢4 billion for short-term securities. According to the recent auction results from the Bank of Ghana, the government surpassed its target by GH¢68 million, with a total of GH¢3.3 billion accepted from the 91-day bill alone.
Additionally, all investor bids for the 182-day and 364-day bills – GH¢549 million and GH¢200 million, respectively were fully accepted.
Interest rates continue to rise across all maturities, with the 91-day bill reaching 26.5%, the 182-day bill at 27.5%, and the 364-day bill closing at 29%. This increase in yields has likely enhanced investor interest in the government’s short-term offerings.
For the upcoming auction, the government aims to raise GH¢5.6 billion.
