Gov’t misses T-bill target for sixth straight week

The government has missed its Treasury bill auction target for the sixth consecutive week, according to the latest data released by the Bank of Ghana, although the shortfall remains marginal.

In the most recent auction, the government aimed to raise GH¢4.47 billion but received total bids of GH¢4.43 billion from investors, representing an undersubscription of just under one percent. Out of the amount tendered, approximately GH¢3.8 billion was accepted.

Subscription Breakdown

Demand continued to favour short-term instruments, with the 91-day bill dominating investor interest. It attracted GH¢2.75 billion in bids, accounting for 62.1% of total submissions, of which GH¢2.71 billion was accepted.

The 182-day bill recorded bids of GH¢717.6 million, with GH¢664 million accepted by the government.

For the 364-day bill, investors tendered about GH¢960 million, but uptake was significantly lower, with only GH¢522.4 million accepted.

Mixed Yield Movements

Yields showed mixed trends across the tenors. The 91-day bill rate declined marginally by 2.0 basis points to 4.92%.

In contrast, the 182-day bill yield increased to 6.96%, up from 6.90% the previous week, while the 364-day bill rate remained unchanged at 10.12%.

The persistent undersubscription points to a slight mismatch between the government’s borrowing needs and investor demand, even as yields continue to adjust in response to market conditions.

Prince Antwi

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