Investor demand for Treasury bills remained strong on the primary market last week, with the government exceeding its fundraising target by more than GH¢1.41 billion.
According to the Bank of Ghana, investors submitted GH¢7.37 billion in bids across the 91-day, 182-day and 364-day Treasury bills. Of this amount, the government accepted GH¢6.01 billion, representing an oversubscription of 31%.
The strong performance signals renewed investor confidence in short-term government securities following a period of weaker demand. It also comes as Treasury bill yields continue to rise amid increasing government financing needs.
The 364-day Treasury bill attracted the highest investor interest, receiving GH¢5.43 billion in bids, with GH¢4.29 billion accepted. The 91-day bill recorded GH¢1.48 billion in bids, of which GH¢1.34 billion was accepted, while the 182-day bill received GH¢461.91 million in tenders, with GH¢378.80 million accepted.
Yields increased across all tenors. The 91-day bill rose by 43 basis points to 5.73% from 5.30%, the 182-day bill climbed 56 basis points to 7.69% from 7.13%, and the 364-day bill jumped 146 basis points to 12.82%, up from 11.36% in the previous auction.
Analysts expect the next Treasury bill auction to remain oversubscribed as higher yields continue to attract investors.
The government is targeting GH¢3.37 billion in its next Treasury bill auction.
