Government will borrow ¢94.4 billion via treasury bills in 2024 to finance its expenditure.

This includes ¢31.8 billion buffer for auction shortfalls.

Analysts believe the government will continue the excess uptakes to build the target buffer.  

Given the lower inflation and interest rates outlook, the locking-in of the 364-day yield offers a better inflation-adjusted return over the holding period. 

In November 2023, the government accepted ¢15.3 billion, surpassing the rollover obligation by 45.4% and the offer target by 26.5%.

However, investors submitted total bids worth ¢15.6 billion (+14.9% month-on-month), exceeding the T-bill offer target by 29.0%.

Importantly, money market liquidity strengthened in November 2023, raising investors' and banks’ demand for weekly Bank of Ghana bills and T bills amidst emerging downward pressure on yields.

In December 2023, the government will face an upcoming refinancing obligation of ¢12.8bn (+21.7% month-on-month).