Investor demand for Treasury bills remained robust last week, with total bids once again exceeding the government’s financing target despite a lower acceptance rate.
Results released by the Bank of Ghana show that investors submitted bids worth GH¢10.51 billion across the 91-day, 182-day and 364-day Treasury bills.
The government accepted GH¢8.65 billion, rejecting nearly GH¢1.86 billion in bids.
Against a target of GH¢5.87 billion, the auction was oversubscribed by approximately 79.2%, reflecting sustained investor appetite for short-term government securities.
The 364-day Treasury bill continued to attract the strongest demand, with investors tendering GH¢7.47 billion, of which GH¢7.18 billion was accepted.
The 91-day bill received GH¢2.27 billion in bids, but only GH¢972.94 million was accepted.
For the 182-day bill, investors tendered GH¢757.93 million, with the government accepting GH¢501.38 million.
Yields were mixed across the curve.
The yield on the 91-day bill declined by two basis points to 5.76% from 5.78% at the previous auction, while the 182-day bill yield fell by four basis points to 7.64% from 7.68%.
In contrast, the yield on the 364-day bill rose by 2 basis points to 12.98% from 12.96%.
The latest auction reinforces analysts’ view that ample market liquidity and attractive risk-free returns continue to support strong demand for government securities, particularly the longer-dated 364-day instrument.
For the next auction, the government is seeking to raise GH¢6.22 billion through the issuance of the 91-day, 182-day and 364-day Treasury bills.