364-day Archives - Wontumi Online

04 Dec

T-bills Auction: Interest Rates Return To Upward Trajectory; Government Misses Target By 30%

Wontumi1Business364-day, 91-day, BoG, T-Bills

Interest rates returned to upward trajectory for the first time in a month, as the government continued to borrow heavily on the money market to finance its expenditure. According to auction results by the Bank of Ghana, the rate on the 91-day T-bill went up marginally to 29.56% from the previous week’s 29.49%. That of the 182-day bill also surged to 31.76% from the preceding week’s 31.75%. The one-year bill also increased by 21 basis points to 33.44%. Meanwhile, the government accepted all the bids for the treasury bills tendered to the tune of ¢3.917 billion. Its ambitious target of…

06 Nov

T-Bills Auction: Interest Rates Up For 36th Week Running; Government Records 33% Oversubscription

Wontumi1Business182-day, 364-day, 91-day, BoG, Interest Rates, T-Bills

Interest rates went up for the 36th week running as the increasing cost of borrowing will bite the government in the future. The yield on the 91-day T-bill went up to 29.96% from the prior week of 29.81%. That of the 182-day bill increased by 47 basis points to 32.14%. For the 364-day bill, it also surged to 33.70% from 33.42% the preceding week. The rising interest rates may bite the government as interest payments will shoot up. Meanwhile, the government recorded 33.01% oversubscription of the T-bills sale to the tune of ¢2.86 billion, according to the auction results by the…

18 Sep

T-bills: Interest Rates Climb To 32.17%; Government Misses Target By 10.8%

Wontumi1Business182-day, 364-day, 91-day, BoG, Interest Rates

Interest rates climbed again on the money market indicating the rising cost of government’s domestic debt. According to auction results by the Bank of Ghana, the yield on the 364-day bill went up by 0.34% to 32.17%. That of the 91-day bill also shot up to 28.12% from 27.28% the previous week. The rate on the 182-day bill also increased marginally by 0.28% to 29.39%. Interest rates have gone up consistently since April 2023 after the Treasury forced the rates down in March 2023. Therefore, market watchers and analysts are worried about the impact of the rising cost of the…

11 Sep

T-bills Auction: Government Achieves 13.21% Oversubscription; Interest Rates Reach Nearly 32%

Wontumi1Business182-day, 364-day, 91-day, BoG, Interest Rates, Treasury Bills

Government exceeded its treasury bills target by over 13 percent to the tune of ¢2.94 billion, but interest rates continued to surge disturbingly. According to the latest auction by the Bank of Ghana, interest rates reached almost 32%. The target for this auction was ¢2.601 billion, but the bids tendered were ¢2.944 billion. About ¢2.907 billion were accepted. Majority of the bids came from the 91-day bill in which about ¢2.206 billion were tendered. However, the government accepted ¢2.202 billion. For the 182-day bill, a little above ¢322 million were offered, but the government accepted ¢289.19 million. With regard to…

04 Sep

T-bills Auction: Interest Rates Hit 31.65%; Government Achieves 15% Oversubscription

Wontumi1Business182-day, 364-day, 91-day, Interest Rates, T-Bills

Interest rates continued to surge on the money market, signaling an increasing cost of domestic debt. According to the latest results by the Bank of Ghana, interest rates went up across the yield curve. This is coming after the government forced rates down in March 2023, following the completion of the first phase of the Domestic Debt Exchange Programme. The yield on the 364-day bill went up by 0.41% to 31.65%. Again, the rate of the highly patronized 91-day bill shot up to 27.36%, from 27.02%. Similarly, the rate on the 182-day bill increased from a marginal 0.10% to 28.71%.…

30 Aug

T-bills Auction: Government To Borrow ¢3.06 Billion On September 1, 2023

Wontumi1Business182-day, 364-day, 91-day, T-Bills

The government will borrow ¢3.06 billion across the 91-day to the 364-day treasury bills on Friday, September 1, 2023. The proceeds will be used to roll over maturing bills worth ¢2.87 billion. Notwithstanding the favorable liquidity levels, analysts anticipate an uptick in T-bill yields as the steady increase in Opening Market Operations (OMO) bill yields and interbank interest rate pose further upside pressures. The government surpassed its auction target last week, as the market continued to experience sufficient liquidity. It accepted total bids worth ¢3.21 billion out of ¢3.23 billion bids tendered. The auction results exceeded the maturities by 16%.…

31 Jul

T-bills Auction: Government Records Marginal Oversubscription; Interest Rates Hit 30.30%

Wontumi1Business364-day, 91-day, T-Bills

Government recorded a marginal oversubscription of treasury bills auction, as interest rates continued its upward trend on the money market. According to the auction result by the Bank of Ghana, the government got about ¢2.34 billion. The target for this auction was about ¢2.28 billion. ¢1.493 billion cedis were bids tendered for the 91-day bill. All the bids were subsequently accepted. Also, the bids for the 182-day T-bills were estimated at about ¢503.58 million. Similarly, all the bids were accepted. For the 364-day bill, about ¢345.14 million were gotten from the auction. Meanwhile, interest rates on the 364-day bill went…

26 Jun

T-bills: Government Records Marginal Oversubscription; But Interest Rates Hit 29.2%

Wontumi1Business182-day, 364-day, 91-day, BoG, T-Bills

Government’s Treasury bills sale were marginally oversubscribed as interest rates hit 29.2%. According to the results from the Bank of Ghana, the government received bids worth ¢2.29 billion, about 4.04% oversubscription. The government had in March 2023 forced interest rates to go down to 18.0% in March 2023, but the rates have been surging since then, raising some concerns about the government’s domestic debt restructuring programme. All the short-term financial instruments have gone up by more than 4.0% since they went down sharply from the high of 35% some three months ago. According to this auction result, the 91-day T-bill…