The government fell short of its treasury bill mobilization target by 16.81%, raising GH¢5.180 billion compared to the intended GH¢6.228 billion. This shortfall follows a legal challenge filed at the Supreme Court by a private legal practitioner seeking to halt the issuance of treasury bills.
According to the Bank of Ghana’s auction report, all submitted bids were accepted. The bulk of the funds came from the 91-day treasury bill, which accounted for GH¢3.942 billion, or 76.1% of the total bids. Meanwhile, GH¢653.43 million and GH¢584.16 million were raised from the 182-day and 364-day bills, respectively.
Interest rates on these instruments continued their upward trajectory for the fourth consecutive week, raising concerns about higher costs of servicing domestic debt. The yield on the 91-day bill increased by 14 basis points to 26.96%, while the 182-day bill rose slightly to 27.78% from 27.67% in the prior week. Similarly, the 364-day bill saw a modest increase of 3 basis points, bringing the yield to 29.21%.
Summary of Auction Results:
91-Day Bill: GH¢3.942 billion tendered and accepted
182-Day Bill: GH¢653.43 million tendered and accepted
364-Day Bill: GH¢584.16 million tendered and accepted
Total Raised: GH¢5.180 billion
Target: GH¢6.228 billion
Source: TheDotNews