T-bills auction: Government exceeds target marginally; yield on 91-day bill remains unchanged

The government returned to oversubscription of its treasury bills as it exceeded its target marginally.

According to auction results by the Bank of Ghana, the government recorded 7.5% oversubscription.

This, however, came at a lower target rate.

According to the auction results, the government received GH¢2.9 billion but accepted about GH¢2.8 billion of the bids tendered. The target for the auction was estimated at GH¢2.75 billion.

The 91-day bill was the most subscribed as GH¢2.07 billion were tendered. This represented 75% of the total bids.

However, the bids accepted were GH¢1.8 billion.

The 364-day bill saw bids of about GH¢876 million tendered. The uptake was GH¢497 million.

For the 182-day bill, GH¢702.95 million of the bids were tendered. The bids accepted were estimated at GH¢ 520 million.

Meanwhile, interest rates were mixed on the yield curve.

The yield on the 91-day-bill remained unchanged at 4.69%.

However, that of the 182-day bill declined by 11 basis points to 6.37%.

Also, the yield on the 364-day bill went down to 9.83% from 9.98%.