The Ghanaian government’s latest Treasury bill auction saw an oversubscription of GH¢595.67 million, compared to GH¢230.91 million in the previous week.
The 91-day bills received the highest subscription rate of 85.95%, while the 182-day and 364-day bills received subscription rates of 11.54% and 2.52%, respectively.
Accepted bids were below tendered bids, with GH¢1,478.84 million raised in 91-day bills, GH¢198.49 million in 182-day bills, and GH¢36.08 million in 364-day bills.
The acceptance rate increased by 230 basis points to close the week at 99.58%.
BREAKDOWN OF TOTAL AMOUNT RAISED THIS WEEK
| Treasuries | Bids Tendered (GH¢ MN) | Bids Accepted (GH¢ MN) |
| 91-Day T-Bill | 1,478.84 | 1,478.84 |
| 182-Day T-Bill | 198.49 | 198.49 |
| 364-Day T-Bill | 43.34 | 36.08 |
| TOTAL | 1,720.67 | 1,713.41 |
Yields settled at 35.46%, 35.83%, and 35.92% for the 91-day, 182-day, and 364-day bills, respectively. The target for the next auction (Tender #1834) is GH¢2,415.00 million for the 91-day, 182-day, and 364-day bills.
| GOG Treasuries | Current | Previous | Change |
| 91-Day T-Bills | 35.46% | 35.66% | -0.195% |
| 182-Day T-Bills | 35.83% | 35.95% | -0.114% |
| 365-Day T-Bills | 35.92% | 36.10% | -0.189% |
This oversubscription is a positive sign for Ghana’s economy, as it indicates investor confidence in the country’s financial stability and ability to meet its debt obligations.
The high acceptance rate and relatively stable yields also suggest a strong demand for government debt. The government of Ghana will continue to monitor the performance of this auction as they set their target for the next auction.
SOURCE: norvanreports