T-Bills: Government Misses Target By Over GH¢500 Million As Interest Rates Rise

The results from the government’s latest treasury bill auction have shown that the government failed to meet its auction target by GH¢519.76 million.

According to the results, the government gained GH¢2.39 billion from the auction.

This was 17% away from the target of GH¢2.93 billion. According to the Bank of Ghana includes the target includes a sell buy-back of GH¢1.01 billion which matures and will be rolled over on July 6, 2023.

The subscriptions for the auction held on June 30 were from only the 91-day and 182-day bills.

Meanwhile, interest rates have been rising in the past few weeks. This week, interest rates increased to 23.95% for the 91-day bill and 25.79% for the 182-day bill.

The majority of the subscriptions came from the 91-day bill as all bids tendered were received by the government.

The 91-day bill received bids amounting to GH¢1.90 billion and GH¢486.73 billion from the 182-day bill.

However, the government expects to raise GH¢1.57 billion from the 91-day bill, 182-day bill, and 364-day bill in its next auction.

 

 

 

 

 

Source: www.ghanaweb.com

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