The government recorded anther impressive 39% oversubscription of treasury bills sale as demand for the short-term instruments grew.

This however came at the expense of mounting interest rates which will increase interest payments.

According to auction results by the Bank of Ghana, the government got GH¢8.890 billion from the total bids tendered by the investors largely banks but accepted GH¢8.839 billion.

The target for the auction was GH¢6.353 billion.

About GH¢5.6 billion came from the 91-day bill, representing 63.9% of the total bids.

The government however accepted GH¢5.648 billion of the bids.

For the 182-day bill, GH¢1.318 billion were tendered. However, GH¢1.307 billion cedis were accepted.

GH¢1.883 billion were tendered for the 364-day bill in which all accepted.

Meanwhile, interest rates went up again raising concerns about the government’s mounting interest rates.

The yield on the 91-day bill shot up by 8 basis points to 28.41%.

That of the 182-day bill also increased to 28.97% from the previous 28.96%.

The rate on the 364-day bill also increased by 11 basis points to 30.17%.