The government is set to raise ¢3.80 billion this week to refinance maturities worth ¢3.60 billion.

This will be done via the issuance of the 91-day, 182-day and 364-day treasury bills.

The government has been borrowing heavily on the treasury market in 2023 as analysts foresee yields clearing higher due to the relatively higher auction target and maturing bills. This is amidst competitive yields on the Bank of Ghana’s Open Market Operations bills.

Last week, the government raised about ¢2.63 billion, about 6.4% oversubscription of the targeted amount.

The amount raised also exceeded total maturities by 12.13%.

According to figures from the Bank of Ghana, interest rates surged for the eighth-week running, raising concerns about the government’s debt management strategy, aimed at cutting Ghana’s debt.

The weighted average yields on the 91-day and 182-day tenors continued the upward drift, closing at 21.27% and 23.95%. However, the 364-day yield lost 20 basis points to 27.82%.

A little above ¢1.50 billion was tendered for the 91-day bill in which all was accepted.

Similarly, about ¢982 million were offered for the 6-month bill. All the bids were subsequently accepted.

Again, the ¢308 million tendered for the one year bill were accepted.