T-bills auction: Government misses target again; investors prefer other money market instruments

The government once again missed its treasury bills target as investor interest continues to shift to Fixed Deposits and other money market instruments.

According to auction results from the Bank of Ghana, the T-bills were undersubscribed by 30%.

According to trading results by the Bank of Ghana, the government got GH¢4.760 billion from a target of GH¢6.824 billion.

For the first time in several weeks, it accepted all the total bids.  

A little over 73% of the bids came from the 91-day bill.  About GH¢3.4 billion of the bids were tendered.

For the 182-day bill, GH¢785.31 million of the bids were tendered.

Also, GH¢487.5 million of the bids were offered for the 364-day bill.

Meanwhile, interest rates were mixed on the yield curve.

The yield on the 91-day bill decreased by 2.0 basis points to 10.67%. 

That of the 182-day bill, however, went up to 12.46% from the 12.43% the preceding week.

The yield on the 364-day bill fell by 5.0 basis points to 12.87%.

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