T-Bills Auction: GoG surpasses Ghs 1.3 billion target by Ghs 194 million
Government, in the auction of its 91, 182 and 364 days treasury bills surpassed its target of raising Ghs 1.32 billion, accepting an additional Ghs 192 million bids made by investors.
At the end of the Tender 1762 Government of Ghana (GoG) securities auction held on Friday, September 3, 2021, some Ghs 1.52 billion as against the target of Ghs 1.32 billion was raised.
Government, last Friday failed to meet its target of Ghs 1.64 billion in the auction of its 91 and 182-day treasury bills.
Government’s failure to meet its target for the 91 and 182-day treasury bills is said to be on the back of the tightening of liquidity on the interbank market.
Auction results for Tender 1762 made available by the Bank of Ghana (BoG), reveal bids submitted by investors for the 91 and 182 days T-bills issued at a discount rate of 12 percent and 12.4 percent were Ghs 1.14 billion and Ghs 109 million respectively.
GoG for the 91-day T-bills accecpted all bids tendered in but accepted Ghs 64 million out of the Ghs 109 million bids tendered in for the 182-day T-bills.
For the 364 days T-bills, total bids tendered amounted to Ghs 353 million, with government rejecting Ghs 41 million of the total bids submitted by investors for the short-term debt security.
The 364 days T-bills was auctioned at a discount rate of 13.7 percent.
The over-subscription of the government’s short-term debt securities can be attributed to the easing of liquidity on the interbank market.
On the back of a successful issuance, the government will once again be looking to raise some Ghs 1.38 billion on the domestic debt market with the auction of 91 and 182 days T-bills this Friday, September 10, 2021.
The government is expected to exceed its target of Ghs 1.38 billion for the T-bills issuance.
