Story By: Akua Oteng Amponsah
Ghana’s Treasury has missed its target in the latest Treasury bill auction, with investor demand weakening significantly.
The government had aimed to raise GHS 6.67 billion but accepted only GHS 4.37 billion from a total offer of GHS 5.47 billion. This represents a shortfall of 34.39%, with bids worth GHS 1.09 billion being rejected.
The auction saw GHS 2.65 billion accepted for the 91-day bill out of GHS 3.50 billion issued.
For the 182-day bill, GHS 1.67 billion was accepted from an offer of GHS 1.81 billion, while the 364-day bill saw GHS 48 million accepted from GHS 157 million.
Despite the undersubscription, interest rates continued to decline, with yields averaging between 14% and 15%.
The 91-day yield remained steady at 14.79%, while the 182-day rate fell by 3 basis points to 15.46% and the 364-day bill declined by 11 basis points to 15.80%.
The government is set to target GHS 7.58 billion in the next auction.
