Finance Ministry to raise Ghs 630 million in 91, 182 days T-bills issuance
The Finance Ministry is seeking to raise some Ghs 630 million on the domestic debt market in the issuance of 91 and 182 days treasury bills.
Already the Ministry, on behalf of government has in two separate auctions, borrowed some Ghs 3.57 billion in the issuance of 91, 182 and 364 days treasury bills and a 10 year fixed income bond.
The Ghs 630 million to be raised on July 29 will be an additional debt to be taken on by government.
In the first auction, data provided by the Central Bank indicates that total bids tendered in by banks for the 91, 182 T-bills and 10 year fixed income auctioned on July 16, 2021, totaled Ghs 1,716 million with government accepting all bids made.
Government, on the following week, July 23, also accepted all bids tendered in for the 91, 182 and 364 days treasury bills.
Read This: Finance Ministry outstrips Ghs 1 billion debt target by Ghs 855 million
The realised amount from the auction was Ghs 1,855 million above government’s target of Ghs 1,019 million – exceeded target by almost Ghs 855 million.
The Ghs 630 million amount to be raised by the Finance Ministry come Friday, will be used to cater for its short-term financing needs.
The Ministry’s target to raise Ghs 630 million on the debt market through the issuance of 91 and 182 days T-bills is expected to be issued at a discounted rate of 12.4 percent.
With increased borrowings on the domestic debt market, the country’s public debt stock is expected to rise with domestic debt as a ratio of government’s total debt stock also expected to increase.
Presently, the country’s debt stock stands at Ghs 332 billion with domestic debt accounting for Ghs 170.8 billion of the total debt stock.
