Treasury Lowers Upcoming T-Bill Auction Target by 3.64% Amid Persistent Undersubscription; Aims to Finance GHS 2.08bn In Maturities
The Treasury has revised down its target for the upcoming T-bill auction by 3.64%, lowering it to GH¢5.40 billion.
The adjustment comes amid a persistent failure by the government to meet its auction targets over the last eight weeks.
The new issuance will partly serve to refinance maturing debt worth GH¢2.08 billion.
Last week’s auction, which set a target of GH¢5.08 billion, saw an undersubscription of GH¢754.86 million, an improvement from the GH¢993.61 million shortfall recorded in the previous week.
Despite the shortfall, market demand reached GH¢4.84 billion, with the Treasury accepting all bids submitted.
The 91-day bill garnered the most interest, attracting bids worth GH¢3.90 billion, followed by the 182-day and 364-day bills, which saw GH¢748 million and GH¢197 million in accepted bids, respectively.
Yields on short-term government securities edged higher, with the 91-day bill rising by 5 basis points to 24.90% and the 364-day bill up 6 basis points to 27.93%.
The yield on the 182-day bill remained unchanged at 26.79%.
