T‑Bill Demand Surges as Government Raises GH¢6bn, Oversubscribes Auction by 31%

Investor demand for Treasury bills remained strong on the primary market last week, with the government exceeding its fundraising target by more than GH¢1.4 billion.

According to auction results released by the Bank of Ghana, investors submitted GH¢7.37 billion in bids across the 91‑day, 182‑day and 364‑day bills, while the government accepted GH¢6.01 billion. The outcome represents a 31% oversubscription — a marked rebound in investor appetite following weeks of subdued demand. The renewed interest comes amid a steady upward correction in yields as the Treasury intensifies its short‑term financing efforts.

The 364‑day bill dominated activity, attracting GH¢5.43 billion in bids, with GH¢4.29 billion accepted — accounting for the bulk of funds mobilised. The 91‑day bill recorded GH¢1.48 billion in tenders, of which GH¢1.34 billion was accepted, while the 182‑day bill saw GH¢461.91 million in bids, with GH¢378.80 million taken up.

Yields climbed sharply across the curve.

• The 91‑day bill rose 43 basis points to 5.73%, from 5.30%.
• The 182‑day bill increased 56 basis points to 7.69%, up from 7.13%.
• The 364‑day bill surged 146 basis points to 12.82%, compared with 11.36% the previous week.

Analysts expect the next auction to remain oversubscribed as rising yields continue to draw investor interest.

The government plans to raise GH¢3.37 billion in the upcoming Treasury bill issuance.

— CitiNewsRoom