Demand for short-term government securities remained strong in the latest auction, despite falling slightly below the target, according to data from the Bank of Ghana.
The Treasury received bids worth GH¢4.4 billion for the 91-day, 182-day and 364-day instruments, missing its GH¢4.8 billion target by a narrow margin. Out of the total bids, government accepted GH¢4.0 billion, maintaining a cautious approach to borrowing.
Investor interest was heavily concentrated in the 91-day bill, which accounted for the bulk of subscriptions. The instrument attracted GH¢2.55 billion in bids, with nearly all of it—GH¢2.54 billion—taken up.
The 182-day bill recorded GH¢771 million in bids, of which GH¢758 million was accepted, while the 364-day bill saw demand of about GH¢1.1 billion, with GH¢790 million allotted.
Yields edged higher across all tenors, indicating tightening liquidity conditions in the money market. The 91-day bill rose slightly to 4.94 percent from 4.91 percent, while the 182-day instrument climbed to 6.90 percent from 6.77 percent. The 364-day bill also increased to 10.12 percent from 9.97 percent.
For the next auction, government has marginally reduced its borrowing target to GH¢4.47 billion for the same mix of short-term securities.
