The Ghanaian government has once again exceeded its Treasury bill (T-bill) target, raising GHS 8.8 billion in its latest auction, surpassing the GHS 6.3 billion it had originally aimed for. The results, released by the Bank of Ghana, show a 39.14% oversubscription, highlighting strong demand from investors.

Investor interest was particularly high for the 91-day T-bill, which attracted GHS 5.64 billion in bids out of the GHS 5.68 billion offered. The 182-day T-bill also performed well, receiving GHS 1.30 billion in bids from the GHS 1.31 billion tendered. The 364-day bill was fully subscribed, with all GHS 1.8 billion offered being taken up.

Bids that did not meet the yield range set by the Treasury were rejected.

The surge in demand for T-bills comes amid rising yields, with interest rates averaging between 28% and 30%. The yield on the 91-day bill rose by 8 basis points to 28.42%, while the 182-day bill saw a slight increase of 1 basis point to 28.97%. The 364-day bill’s yield surged by 11 basis points to 30.29%.

Market analysts suggest that the strong demand reflects growing investor confidence and an increased appetite for high-interest rate investments. The government is expected to raise GHS 8.07 billion in its next T-bill auction.

Source:TheDotNews