Government rejects GH¢873.94m in Treasury bill bids despite strong investor demand

The government has rejected GH¢873.94 million in bids for Treasury bills after investors tendered GH¢4.27 billion at the latest auction, exceeding the GH¢3.80 billion target.

The government, however, accepted GH¢3.39 billion of the total bids submitted, leaving a substantial portion of investor demand unaccepted.

The 91-day Treasury bill recorded the highest demand, attracting GH¢2.86 billion in bids. Of this amount, GH¢2.55 billion was accepted at a yield of 4.61%.

For the 182-day bill, investors submitted GH¢533.28 million in bids, with the government accepting GH¢420.66 million at a yield of 6.29%.

The 364-day bill attracted GH¢873.69 million in bids, out of which GH¢420.24 million was accepted at a yield of 9.67%.

Overall, the government accepted about 79.5% of the total bids tendered at the auction.

Despite the strong investor demand, the accepted amount was approximately GH¢407.34 million below the government's GH¢3.80 billion target.

The auction results indicate that the government chose not to take up all the funds offered by investors, even though the total value of bids submitted exceeded the amount it had targeted to raise.