The government will borrow ¢1.83 billion today May 5, 2023, on the treasury market.

The amount will be raised via the issuance of 91-day, 182-day and 364-day Treasury bills.

This will be used to refinance upcoming maturities estimated at ¢1.75 billion.

In this regard, ¢800 million fresh funds will be added to the new issuance.

Analysts perceive yields could remain slightly elevated on tight liquidity conditions, until inflation data is released next week.

The government bagged ¢2.06 billion from the sale of the short-term securities, about 30.4% oversubscription over the targeted amount of ¢1.585 billion

Majority of the bids came from the 91-day T-bills as investors were mindful of the risk of the high-interest payment.

The result showed that interest rates on the treasury market were mixed. This ended the four-week continuous rise on the yield curve.

Whilst the 91-day T bill went for 19.94%, as against 19.96% the previous week, that of the 182 T-bill increased by 0.14% to 22.71%.

Government borrowed ¢8.25bn via T-bills in April 2023

In April 2023, the government borrowed ¢8.25 billion on the treasury market, 18.20% above its gross target.

The funds were used to refinance maturities worth ¢6.3 billion.

The 91-day and 182-day yields ticked higher at 19.95% (+56 basis points month-on-month) and 22.71% (+85 basis points month-on-month) respectively.

The 364-day settled at 27.26% (+160 basis points month-on-month).