T-bills auction target of Ghs 1.1 billion surpassed by Ghs 154 million
The Finance Ministry in the auction of the 91, 182 and 364 days treasury bills surpassed its target of raising Ghs 1.16 billion, accepting an additional Ghs 154 million bids made by investors.
The Finance Ministry at the end of the Tender 1759 Government of Ghana (GoG) securities auction held on Friday, August 13, 2021, raised some Ghs 1.31 billion as against the target of Ghs 1.16 billion.
For some weeks now, the Finance Ministry has consistently exceeded its auction targets for treasury bills issued on behalf of government.
Just last week, government on August 6, exceeded its auction target of Ghs 1,101 million by Ghs 185 million raising Ghs 1,286 million at the end of the auction.
Auction results for Tender 1759 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 11.7 percent and 12.2 percent were Ghs 985 million and Ghs 172 million respectively.
The Finance Ministry accepted all bids made for the 91 and 182 days T-bills.
For the 364 days T-bills, total bids tendered amounted to Ghs 158 million, with government once again accepting all bids made for the short-term debt security.
The 364 days T-bills was auctioned at a discount rate of 13.7 percent.
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The over-subscription of the government’s short-term debt securities is attributable to the ever-increasing appetite for government securities by institutional investors particularly banks due to the relatively less risky nature of government securities.
It can also 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 596 million on the domestic debt market with the auction of 91 and 182 days T-bills.
Government is once again expected to exceed its target of Ghs 569 million for the T-bills issuance.
Details of auction results:
Auctresults-1759 by Fuaad Dodoo on Scribd
