T-bill Auction: Gov’t records 40% oversubscription, interest rates rise
The government has recorded a seventh consecutive oversubscription for its weekly treasury bills auction as investor appetite for these debt instruments continues to grow.
The latest Bank of Ghana auction results indicate that the government recorded a 40% oversubscription, receiving bids totaling GH¢10.09 billion, as against its GH¢7.149 billion original target, but accepted GH¢10.05 billion of these bids.
According to the results, most of the bids were concentrated in the 364-day bill, with investors submitting GH¢4.614 billion in bids, of which GH¢4.604 billion was accepted.
The 91-day bill attracted bids worth GH¢2.754 billion, with GH¢2.744 billion accepted. Similarly, the 182-day bill attracted GH¢2.719 billion in bids, with the Treasury green ticking a little over GH¢2.7 billion.
Meanwhile interest rates rose across all three tenors. The yield on the 91-day bill increased by 2 basis point to 11.19%. The 182-day bill also saw a slight increase, rising 3 basis points to 12.64%, from last week’s 12.61%.
The yield on the 364-day bill saw an 8-basis point increase to 12.98%, up from the 12.90% recorded last week.
The Treasury has set a GH¢9.825 billion target for the next sale of these government-issued debt instruments.
See Full Auction Result Below:
About The Author
