Ghana’s money market continues to face liquidity challenges, as the government fell GH₵2.6 billion short of its treasury bill target in the latest auction.
According to results released by the Bank of Ghana, the government aimed to raise GH₵7.4 billion but managed only GH₵4.7 billion, marking an undersubscription of approximately 35.9%.
The 91-day treasury bill garnered the highest interest, with all GH₵2.59 billion tendered being accepted. Meanwhile, the 182-day bill attracted GH₵830 million in bids, and the 364-day bill pulled in GH₵1.3 billion.
Yields on treasury bills experienced a slight uptick, with interest rates ranging from 25% to 28%.
Analysts pointed to the combination of a high auction target and ongoing liquidity constraints as reasons for the shortfall. In response, the Treasury is expected to increase its borrowing target to GH₵5.98 billion in the upcoming auction.
SOURCE: https://dew360.net
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