The government exceeded its treasury bills target by 11.9 percent, reversing a two-week undersubscription. According to auction results by the Bank of Ghana, this, however, came at a higher cost as interest rates surged marginally on the yield curve.
The government got about GH¢6.0 billion but accepted GH¢5.8 billion of the bids.
The 91-day bill was once again the most subscribed, as GH¢3.56 billion of the bids were tendered, representing 58.4 percent of the total bids. The uptake was, however, GH¢3.50 billion.
The 182-day bill recorded bids of GH¢1.7 billion. A little above GH¢1.6 billion was accepted.
For the 364-day bill, GH¢815.57 million of the bids were tendered. About GH¢640 million were accepted.
Meanwhile, interest rates went up across the yield curve. The yield on the 91-day bill went down by 2.0 basis points to 5.01 percent.
That of the 182-day bill also increased to 7.09 percent, from 7.04 percent. Also, the yield on the 364-day increased by 38.0 basis points to 10.83 percent.
Source: businesspostonline
