Bank of Ghana Raises GHS 677.5 Million Through Central Bank Bill Auction
The Bank of Ghana (BoG) successfully mobilized over GHS 677.5 million last week through the auction of 56-day Central Bank bills, issued at an interest rate of 27%, aligning with the prevailing policy rate.
The auction, conducted on December 24, 2024, underscores the central bank’s commitment to balancing government financing needs with liquidity management in the financial system.
Strategic Role of Central Bank Bills
As a key monetary policy instrument, Central Bank bills are pivotal in open market operations, allowing the BoG to regulate the money supply, control liquidity, and stabilize the broader economy.
The funds raised will serve dual purposes which include providing short-term financing to address government’s immediate fiscal requirements and also ensuring monetary policy objectives are met by managing liquidity levels within the banking system.
Sustaining Economic Stability
This auction highlights the BoG’s strategic approach to leveraging Central Bank bills to maintain monetary stability and support the government’s fiscal needs.
By deploying such instruments, the central bank reinforces its role in safeguarding economic stability and fostering confidence in Ghana’s financial markets.
