Treasury bills heavily under-subscribed in government's latest auction

The government has missed out on its treasury bills target for the second consecutive time after recording an over-subscription.

According to its latest auction results, the government could not meet its target of GH¢5.980 billion.

The sale of the short-term instruments resulted in an under-subscription of GH¢2.305 billion as the government managed to sell GH¢3.674 billion.

During the auction on October 4, 2024, and issuance on October 7, 2024, GH¢2.911 billion was secured for the 91-day bill.

However, the government accepted GH¢572.95 million for the 182-day bill and GH¢189.95 million for the 365-day bill.

Last week, the government sold a total of GH¢4.767 billion.

Interest rates were set at 25.44% for the 91-day bill, 26.80% for the 182-day bill, and 28.51% for the 365-day bill.

Treasury bills have become the government’s primary source of borrowing since it no longer has access to the international capital market.

SSD/MA

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