T-bills: Interest rates on 91-day and 364-day bills drop; government fails to achieve target

Interest rates on the 91-day and 364-day bills went down on the yield curve, as the government recorded a marginal undersubscription of treasury bills auction.

Whilst the yield on the 91-day bill fell by 20 basis points to 25.64%, that of the 364-day bill declined to 28.49%.

However, the 182-day bill went up by 25 basis points to 28.14%.

Analysts are hopeful that the yields will drop further once the government receives the third tranche of the bailout cash of $360 million from the International Monetary Fund.

Meanwhile, the government secured GH¢3.341 billion from the auction of the treasury bills. This was slightly lower than the targeted amount of GH¢3.372 billion.

The majority of the bids came from the 91-day bill. GH¢2.356 billion were tendered and all were accepted.

For the 182-day bill, GH¢818.32 million was received and the uptake was the same.

GH¢166.24 million was also obtained from the sale of the 364-day bill.

SECURITIES	BIDS TENDERED (GH¢)	BIDS ACCEPTED (GH¢)
91 Day Bill	2.356bn	2.356bn
182 Day Bill	818.32m	8.18.32m
364 Day Bill	166.24m	166.24m

Total	3.341bn
Target	3.372bn

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