The Ghana Treasury Bill Auction fell short of its GH¢5 billion target in the latest domestic issuance, raising GH¢4.43 billion as investor demand remained heavily tilted toward short-term instruments.
Results released by the Bank of Ghana for Tender 2005, held on April 30 and settled on May 4, showed total bids of about GH¢4.48 billion across the 91-day, 182-day, and 364-day bills.
The 91-day bill led the auction, attracting GH¢1.89 billion in bids, with GH¢1.88 billion accepted. The 182-day bill recorded GH¢764 million in bids, all of which were accepted.
By contrast, the 364-day bill saw GH¢1.82 billion tendered, but only GH¢1.74 billion was taken up, reflecting some caution among investors at the longer end of the yield curve.
Analysts say the outcome “underscores sustained investor caution,” particularly regarding longer-dated securities where pricing uncertainties and duration risks remain key concerns.
Yields Reflect Market Conditions
For the week spanning April 27 to 30, weighted average yields settled at 4.86 percent for the 91-day bill, 6.73 percent for the 182-day bill, and 9.25 percent for the 364-day instrument.
On an interest rate basis, these translated into 4.92 percent, 6.97 percent, and 10.19 percent respectively, reflecting relatively stable but differentiated pricing across maturities.
Looking ahead, the government is targeting GH¢4.34 billion in the next issuance, Tender 2006, across the same instruments.
The upcoming auction is expected to provide further insight into investor sentiment as authorities continue to rely on the domestic money market to meet short-term financing needs, amid cautious but adequate liquidity conditions.
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