Government exceeds T-bills target by 30.5% as demand softens to GH¢2.93bn

The government exceeded its treasury bills target by 30.52% to the tune of GH¢2.93 billion.

This is despite demand softening further last week.

The Treasury accepted GH¢1.77 billion of the total bids as against a target of GH¢2.24 billion.

The 91-day bill led the pack with GH¢2.2 billion of the bids tendered, representing 98% of the total bids.

The uptake was, however, GH¢1.39 billion.

The 182-day bill received bids of about GH¢235.19 million. A little above GH¢153 million was accepted.

For the 364-day bill, about GH¢474.85 million of the bids were tendered. A little above GH¢224 million of the bids were accepted.

Meanwhile, interest rates continued to decrease on the yield curve.

The yield on the 91-day bill declined by 4.0 basis points to 4.64%.

That of the 182-day bill also went down to 6.31% from the preceding 6.67%.

Similarly, the yield on the 364-day bill dropped by 3.0 basis points to 9.80%.

Looking ahead, Databank Research expects demand to remain relatively soft at the next auction as the Treasury’s modest funding requirement should keep the auction comfortably covered and yields broadly stable.

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