Short-Term Debt Issuance Yields Steady As Treasury Misses Target By GHS 234 Million
The Treasury raised GHS 4.48 billion through its latest issuance of short-term debt instruments, falling short of its GHS 4.72 billion target by GHS 234 million, equating to a 5.21% undersubscription rate.
This shortfall highlights a cautious investor sentiment despite stable yields across all tenors.
The auction saw the 91-day bill attracting the highest subscription, with successful bids amounting to GHS 3.54 billion.
This was followed by the 182-day bill, which garnered GHS 782 million in bids, and the 364-day bill, which saw GHS 165 million in successful bids.
Yields remained steady across the board, with the 91-day bill holding at 24.78%, the 182-day bill at 26.74%, and the 364-day bill at 27.78%.
These stable yields suggest a consistent demand for government securities, notwithstanding the slight undersubscription.
Looking ahead, the Treasury is set to increase its borrowing target to GHS 5.31 billion in the next T-bill auction, aiming to secure funds through the issuance of 91-day, 182-day, and 364-day bills.
This move comes as the government continues to navigate the complexities of balancing fiscal needs with market conditions.
