The government fell short of its treasury bills target by 16.81%, according to auction results released by the Bank of Ghana. Against a goal of GH¢6.228 billion, the government managed to raise GH¢5.180 billion. This auction occurred amidst legal action from a private legal practitioner who filed an application at the Supreme Court seeking to halt the issuance of treasury bills.

Despite the shortfall, all submitted bids were accepted. The majority of the funds, amounting to GH¢3.942 billion or 76.1% of the total, came from the 91-day treasury bill. The 182-day bill attracted GH¢653.43 million in bids, while the 364-day bill received slightly over GH¢584 million.

Meanwhile, interest rates on treasury bills rose for the fourth week in a row, increasing the cost of servicing domestic debt. The yield on the 91-day bill climbed by 14 basis points to 26.96%, while the rate on the 182-day bill increased marginally to 27.78% from the previous week’s 27.67%. Similarly, the 364-day bill yield edged up by 3 basis points to 29.21%.

Breakdown of Treasury Bills Auction

91-Day Bill: GH¢3.942 billion tendered and accepted

182-Day Bill: GH¢

Source: TheDotNews