Finance Minister Touts Significant Drop in T-Bill Rates
Interest rates on Treasury Bills have witnessed a sharp decline across all three tenures of the short-term debt instruments, according to Ghana’s Minister for Finance, Dr. Cassiel Ato Forson.
In a tweet on X (formerly Twitter), the Finance Minister highlighted the historic drop in rates, attributing the decline to President John Mahama’s leadership within the past 50 days.
“In just 50 days under President Mahama’s leadership, treasury bill rates have seen a historic decline.
91-day T-bill slashed from 28.34% to 20.79% marking a 760 basis points drop, 182-day T-bill down from 28.96% to 22.98%, indicating a 600 basis points reduction and the 364-day T-bill plummets from 30.17% to 22.69% representing a 750 basis points cut,” he tweeted.
The decline in Treasury Bill rates is expected to ease borrowing costs for the government while potentially lowering interest rates on loans in the broader economy.
Analysts suggest that the reduction could be attributed to improved investor confidence, fiscal consolidation efforts, and better liquidity conditions in the financial market.
