T-bills auction: Government records marginal oversubscription; but interest rates rise

The government recorded a marginal oversubscription of treasury bill sales after three weeks of failing to meet its target.

This is coming after the International Monetary Fund approved the third review of Ghana’s Economic Facility (ECF) Programme following the completion of the restructuring of Eurobonds.

The government recorded 1.08% more than the targeted amount of GH¢4.565 billion cedis.

All the bids tendered were also accepted.

About GH¢3.88 billion, representing 84% of the total bids came from the 91-day bill.

Approximately GH¢500.68 million cedis were tendered for the 182-day bill. For the 364-day bill, GH¢225.96 million cedis were received from the investors.

Meanwhile, interest rates shot up marginally on the yield curve.

The yield on the 91-day bill was up by 16 basis points to 25.61%. That of the 182-day bill also increased to 26.90%, from the previous week’s 26.80%.

The rate on the 364-day bill declined by 7.0 basis points to 28.58%.