T-bills: Government records marginal oversubscription; but interest rates hit 29.2%

Government’s Treasury bills sale were marginally oversubscribed as interest rates hit 29.

2%.

According to the results from the Bank of Ghana, the government received bids.

worth ¢2.

29 billion, about 4.

04% oversubscription.

The government had in March 2023 forced interest rates to go down to.

18.

0% in March 2023, but the rates have been surging since then, raising some concerns.

about the government’s domestic debt restructuring programme.

All the short-term financial instruments have gone up by more than 4.

0% since they went down sharply from the high of 35% some three months ago.

According to this auction result, the 91-day T-bill recorded the biggest jump in.

interest rates, as the yield shot up by 1.

27% to 22.

97%.

For the 364-day T-bill, the yield went up by 0.

34% to 29.

25%.

That of the 182-day bill also went up to 25.

44%, from 24.

97% recorded the previous week.

Meanwhile, the 91-day bill recorded the biggest uptake of 81.

7% of the total T-bills subscription.

About ¢1.

879 billion was offered by the investors in which the government accepted ¢1.

861 billion.

For the 182-day T-bills, the government secured ¢304.

16 million.

About ¢115.

7 million was tendered by the investors for the 364-day bill in which the government.

accepted ¢112.

60 million.

Securities Bids Tendered (GH¢) Bids Accepted (GH¢)
91 Day Bill 1.

879 billion 1.

861 billion
182 Day Bill 304.

16 304.

16 million
364-Day Bill 115.

74 million 112.

60 million

Total 2.

299 billion 2.

278 billion
Target 2.

202 billion.