BoG’s forex auction oversubscribed by 50%
The Central Bank in its forex forward rates auction on Tuesday, August 24, exceeded its target of raising $50 million.
The Bank of Ghana (BoG), in the auction held accepted in total some $75 million in bids submitted by banks, importers, exporters and other persons and businesses that have need of the American dollar for their transactions.
This implies that the Central Bank by accepting the $75 million bids exceeded its auction target by 50 percentage points.
The BoG however, rejected bids to the tune of $12.75 million made by buyers. The rejected $12.75 million was out of a total $87.75 million bids submitted by buyers.
Bids were made for the 7 day, 15 day, 30 day and 45 day tenors.
Total bids submitted for the 7 day tenor amounted to $48 million of which the BoG accepted $36 million.
For the 15 day, 30 day and 45 day tenors, bids made totaled $28.25 million, $9.5 million and $1.5 million respectively.
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The BoG, for the 15 day, 30 day and 45 day tenors accepted bids totaling $27.5 million, $9.5 million and $1.5 million respectively.
For the 60 day tenor, BoG accepted all $500,000 bids submitted.
No bids were made for the 60 day and 75 day tenors.
The BoG’s forex forward auction programme is to help govern the conduct of forex auctions on the interbank foreign exchange market, deepen the forex market and reduce uncertainty on the future availability of dollars to meet the forex need of banks, importers, exporters and other businesses.
