- Treasury Bills Seize 64% Of GFIM Turnover as DDEP Bond Trading Retreats
Trading on the Ghana Fixed Income Market opened the week with a decisive shift towards Treasury bills, as overall turnover declined but transaction activity almost doubled from the previous session.
Total securities traded on Monday, October 12, amounted to GH¢1.61 billion, down 27.88 per cent from GH¢2.23 billion on Friday, October 9. The number of transactions nevertheless increased by 93.11 per cent to 2,663 from 1,379.
Less money changed hands, but it moved through more trades. Average value per transaction consequently fell by 62.65 per cent, from about GH¢1.62 million to GH¢604,575.
The figures point to a market that became more active in frequency while turning smaller in average ticket size. They also show that the decline in headline turnover did not reflect a general withdrawal of investors. Instead, activity rotated sharply away from restructured government bonds and into shorter government paper.
Treasury-bill turnover almost doubled to GH¢1.03 billion from GH¢541.63 million, an increase of 89.88 per cent. Bills represented 63.88 per cent of total market turnover, compared with only 24.26 per cent in the previous session.
The segment also accounted for 2,609 of the market’s 2,663 transactions, or nearly 98 per cent of all deals. On Friday, bills generated 1,287 transactions.
Demand remained concentrated in the 364-day segment, where turnover increased 67.99 per cent to GH¢831.61 million from GH¢495.03 million. Longer-dated bills represented 80.86 per cent of bill turnover, although this was below Friday’s unusually high concentration of 91.40 per cent.
The most actively traded instrument was the bill maturing on August 2, 2027, which recorded GH¢150.23 million across 17 trades. Its closing yield declined to 8.8593 per cent from 8.9173 per cent on Friday, while its price rose to 93.3223 from 93.2176.
That 5.80-basis-point decline indicates firmer demand for the instrument because bond and bill prices move inversely to yields. Two neighbouring maturities attracted substantial volumes: the July 26, 2027 bill recorded GH¢127.39 million, while the August 9, 2027 security generated GH¢106.93 million.
The 91-day segment produced the sharpest expansion in trading activity. Turnover jumped to GH¢182.83 million from GH¢26.58 million, an increase of almost 588 per cent. Its share of bill turnover rose from 4.91 per cent to 17.78 per cent.
One instrument accounted for most of that increase. The bill maturing on December 28, 2026, traded GH¢130.21 million through 1,813 transactions. On Friday, the same instrument recorded GH¢10.64 million across 134 deals.
Its yield edged up to 4.9696 per cent from 4.9571 per cent, a movement of approximately 1.25 basis points. The combination of sharply higher turnover, a large increase in transaction count and only a marginal yield adjustment suggests strong liquidity around that maturity without material repricing.
The 182-day segment was the exception to the increase in bill activity. Turnover declined 30.10 per cent to GH¢13.99 million from GH¢20.02 million, while transactions fell to 59 from 80. Its share of bill turnover narrowed to 1.36 per cent from 3.70 per cent.
Turnover in Domestic Debt Exchange Programme bonds fell sharply to GH¢575.70 million from GH¢1.64 billion, a decline of 64.97 per cent. The segment’s share of total market turnover dropped to 35.76 per cent from 73.62 per cent.
The decline reversed the previous session’s dominance by restructured bonds and explains most of the contraction in overall trading value. DDEP transaction numbers also fell to 31 from 50.
Activity was concentrated in four instruments. The February 2032 bond led with GH¢307.27 million, equivalent to 53.38 per cent of DDEP turnover and 19.09 per cent of the market. Its closing yield rose 14 basis points to 14.51 per cent from 14.37 per cent, while the closing price declined to 80.3127 from 80.7283.
The February 2030 bond followed with GH¢124.88 million. Its yield declined 17 basis points to 14.20 per cent, signalling stronger pricing support despite turnover falling substantially from GH¢501.61 million on Friday.
The February 2029 bond recorded GH¢119.96 million across 20 transactions, the largest deal count among traded DDEP securities. Its closing yield eased 12 basis points to 13.86 per cent. The February 2037 bond completed the active group with GH¢23.59 million and a yield of 14.93 per cent, three basis points above Friday.
The mixed yield movements show that investors were differentiating among maturities rather than repricing the DDEP curve uniformly. Demand strengthened around the 2029 and 2030 maturities, while the larger 2032 trade cleared at a higher yield.
New government bond turnover declined 90.68 per cent to GH¢3.23 million from GH¢34.68 million. All turnover came from the September 2030 bond, which closed at a yield of 11.41 per cent and a price of 101.7772.
The yield fell 24 basis points from its opening level of 11.65 per cent, suggesting buying interest, although the conclusion must be qualified by the instrument’s limited turnover and two transactions. Friday’s activity had been dominated by the March 2033 bond, which generated GH¢31.39 million.
Corporate bond turnover fell 48.22 per cent to GH¢688,292 from GH¢1.33 million, spread across four transactions. The August 2027 COCOBOD bond led the segment with GH¢482,900, followed by GH¢105,392 in a Petrosol bond maturing in August 2031 and GH¢100,000 in the August 2028 COCOBOD security.
Sell-and-buy-back transactions also weakened, declining 82.68 per cent to GH¢1.94 million from GH¢11.17 million. Although the number of transactions slipped only to 17 from 19, average repo size contracted, reinforcing the pattern of smaller trading tickets.
No turnover was recorded in old government notes and bonds during either session.
Monday’s trading presents two contrasting demand signals. The decline in total turnover and DDEP volumes indicates weaker appetite for large secondary-market bond positions. Yet the surge in bill turnover and transaction numbers shows that liquidity did not leave the market; it moved towards instruments offering shorter duration and easier cash management.
This preference may reflect caution over duration risk, institutional liquidity needs and investors’ desire to preserve flexibility while interest-rate expectations evolve. The heavy concentration in 364-day bills shows that investors are still willing to extend beyond the shortest maturity when pricing is considered attractive. The extraordinary transaction count in one 91-day bill simultaneously reveals strong demand for near-term instruments.
The next sessions will show whether Monday’s rotation marks a durable change or merely reflects settlement and portfolio requirements at the start of the week.
If bill turnover remains above GH¢1 billion while DDEP activity stays subdued, the market will be signalling a clearer preference for liquidity over duration. Sustained yield declines across actively traded 364-day securities would strengthen the case that demand is firming rather than simply shifting mechanically between instruments.
For the bond market, the 2029-to-2032 DDEP segment remains the area to watch. It accounted for almost all restructured-bond turnover, but its mixed yield movements show that investors are selective about maturity and price.
The opening session therefore delivered a market that was smaller by value but broader by activity. Treasury bills displaced DDEP bonds as the principal source of turnover, transaction counts surged and average trade size contracted. The outlook favours continued strength in bills, while longer-dated bond demand is likely to remain concentrated in selected maturities until investors receive a clearer signal on yields, liquidity and monetary-policy direction.
