Gov’t misses T-Bill target for third straight week as yields edge higher

Ghana’s Treasury bill market remains under pressure as the government missed its issuance target for the third consecutive week.

The latest auction closed with a GH¢672 million shortfall, representing a 10.45% under-subscription.

According to Bank of Ghana data, investors tendered GH¢5.8 billion against a target of GH¢6.42 billion.

Of this, GH¢4.02 billion was accepted from GH¢4.04 billion in bids for the 91-day bill, GH¢1.32 billion from GH¢1.33 billion for the 182-day, and GH¢397 million from GH¢430 million for the 364-day paper.

The under-subscription signals government’s attempts to moderate borrowing costs, even as investors demand higher yields amid competing instruments.

Rates inched higher across most tenors, with the 91-day rising 28 basis points to 10.41% and the 182-day up 15 basis points to 12.38%.

The 364-day however dipped slightly, easing by 8 basis points to 13.00%.

Government will return to the market this week, seeking to raise GH¢6.72 billion.