Government secured GHS739.39 million in bids from investors in Thursday’s 3-year bond auction but accepted GHS705 million.​

Government is expected to pay an interest of 18.50 percent on the bond.

It however not clear for now, how many foreign and local investors participated in the auction and how government intends to use proceeds of the bond.

That is whether it would be used to clear maturing debts or other projects outlined in this year’s budget. Settlement for the bonds would happen on Monday, June 5.

However analysts, fear the auction could lead to further increase in the debt stock which has hit GHS127 billion as at March 2017.

The Finance Ministry used the book building approach to issue this bond, which was jointly led by Barclays, Stanbic and SAS.