T-bills auction: Government target falls short again; interest rates up marginally

Audio By Carbonatix

The government missed its target for treasury bills for the 9th week, as liquidity remained tight on the money market ahead of the December 2024 elections.

According to auction results from the Bank of Ghana, the government’s target fell short by GH¢754.86, about 13.47% undersubscription.

The government secured GH¢4.84 billion from a target of GH¢5.604 billion.

All the bids tendered for the short-term instruments were accepted.

GH¢3.903 billion was tendered for the 91-Day Bill. This represented 80.49% of the total bids.

For the 182-Day Bill, GH¢748.58 million was tendered.

The 364-Day Bill received the lowest bid of GH¢197.11 million.

Meanwhile, interest rates went up marginally on the yield curve.

The yield on the 91-Day Bill went up by 2.0 basis points to 24.90%.

That of the 182-Day Bill remained relatively the same at 26.78%.

However, the 364-Day Bill increased slightly to 27.92% from the previous week's 27.91%.

SECURITIES	BIDS TENDERED (GH¢)	BIDS ACCEPTED (GH¢)
91-Day Bill	3.903 billion	3.903 billion
182-Day Bill	748.58 million	748.58 million
364-Day Bill	197.11 million	197.11 million

Total	4849.14 billion	4849.14 billion
Target	5.604

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