The government missed its treasury auction target by GHS 1.59 billion last week, according to results published by the Bank of Ghana. Total bids submitted amounted to GHS 4.73 billion, falling short of the GHS 6.43 billion target.
All bids for the 91-day treasury bill were accepted in full, totalling GHS 2.98 billion. For the 182-day bill, investors submitted GHS 869 million in bids, of which GHS 668 million was accepted. The 364-day instrument attracted GHS 1.43 billion in bids, but only GHS 1.07 billion was accepted—largely through non-competitive bids.
The Treasury’s selective acceptance strategy contributed to a marked decline in yields, particularly on the longer end of the curve.
Yields fell across all tenors:
The 91-day bill dropped 9 basis points to 15.23% (from 15.32% the previous week).
The 182-day bill fell by 25 basis points to 15.77%.
The 364-day bill recorded the steepest decline, falling 142 basis points to 16.95%, largely due to the absence of competitive pricing.
Analysts say the compression in yields reflects a strategic shift by the Treasury toward cost-effective borrowing in the face of subdued demand.
In the upcoming auction, the government is targeting GHS 6.69 billion.
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