Gov’t Mobs up GHS 10.05bn in T-Bill Auction as Oversubscription Streak Continues
The government sustained strong investor traction at the latest treasury bill auction, recording a 40.6 per cent oversubscription for the seventh consecutive week.
Total bids at the auction amounted to about GH¢10.05 billion, well above the government’s target of GH¢7.14 billion. However, only a little over GH¢2.90 billion of the total bids submitted were accepted.
Demand remained skewed towards the longer end of the short-term yield curve, with the 364-day bill accounting for more than 45.7 per cent of total subscriptions. Investors tendered bids worth approximately GH¢4.61 billion for the one-year instrument, almost all of which—about GH¢4.60 billion—was taken up.
The 182-day bill attracted bids estimated at GH¢2.71 billion, with accepted bids coming in at roughly GH¢2.70 billion. Similarly, the 91-day bill recorded bids of nearly GH¢2.75 billion, of which close to GH¢2.74 billion was accepted.
Upward yield movement was recorded across the curve as the 91-day bill inched up by 0.2 basis points to 11.19 per cent, while the 182-day yield rose to 12.64 per cent from 12.52 per cent at the previous auction.
Yield on the 364-day bill also increased by 8 basis points to settle at 12.98 per cent, reflecting sustained investor preference for short-term government securities.
