Treasury Bills Auction Oversubscribed by GHS 383 Million, Raising GHS 4.64 Billion
The Treasury exceeded its target in the December 27 Treasury Bills auction, raising GHS 4.64 billion (GHS 383 million more) against an initial target of GHS 4.26 billion.
This marks a strong rebound for short-term government debt instruments following undersubscription in the prior auction.
In the previous auction, the Government fell short of its Treasury bill auction target by GHS 60 million securing GHS 5.40 billion against a target of GHS 5.46 billion.
Robust Demand for 91-Day Instruments
Investor appetite was strongest for the 91-day Treasury bill, which attracted GHS 3.83 billion in bids.
The 182-day and 364-day bills drew GHS 628 million and GHS 179 million in bids, respectively.
Yields Edge Higher Across Tenors
Increased demand for short-term government debt instruments was accompanied by modest yield adjustments:
- The 91-day bill saw its yield rise by 18 basis points to 28.03%.
- The 182-day bill climbed 11 basis points to 28.68%.
- The 364-day bill edged up 13 basis points to 30.07%.
Strategic Fiscal Management
Meanwhile, the government aims to raise GHS 4.32 billion in its next auction, scheduled for January 3, 2025, as part of its strategy to manage domestic debt and meet immediate fiscal requirements.
The oversubscription underscores growing confidence in Ghana’s Treasury market, with rising yields offering an attractive proposition to investors amidst ongoing fiscal consolidation efforts.
