Government Treasury bills sale was undersubscribed by 11.6%, according to results published by the Bank of Ghana.
The undersubscription was also realised at higher interest rates.
According to the results, government secured a total of ¢974.51 million from the sale of the short term instruments against a target of ¢1.088 billion.
Bids tendered in were estimated at ¢974.51 million, which the government accepted all.
Some market watchers may attribute the undersubscription of the financial instruments to liquidity challenges within the economy.
Again, the government will spend more to repay the borrowed funds at maturity.
Similarly, the increased appetite for borrowing by the government is crowding out the private sector from access to financing.
Whilst the 91-day T-bills went up by 0.43% to 31.39%, that of the 182-day T-bill also hit 32.23%, from 32% the previous week.
The 364-day however sold for 32.06%, lower than the 6-months bill.
In 2022, the government is expected to spend ¢42 billion of tax revenue as interest payments.
Securities | Bids Tendered (GH¢) | Bids Accepted (GH¢) |
91 Day Bill | 830.33 million | 830.33 |
182 Day Bill | 94.34 million | 94.34 million |
364 Day Bill | 49.84 | 49.84 |
Total | 1.088 | 1.088 |
Target | 974.51 | 974.51 |
Latest Stories
-
#Manifesto debate: NDC to enact and pass National Climate Law – Prof Klutse
4 mins -
‘Everything a manager could wish for’ – Guardiola signs new deal
14 mins -
TEWU suspends strike after NLC directive, urges swift resolution of grievances
21 mins -
Netflix debuts Grain Media’s explosive film
48 mins -
‘Expired’ rice scandal: FDA is complicit; top officials must be fired – Ablakwa
1 hour -
#TheManifestoDebate: We’ll provide potable water, expand water distribution network – NDC
2 hours -
IPR Ghana@50: Pupils educated to keep the environment clean
2 hours -
PenTrust CEO named ‘Best Pensions CEO’, company wins ‘Scheme Administrator Award’ at Ghana Accountancy & Finance Awards 2024
2 hours -
Alan Kyerematen’s ‘Brighter Future for Health Professionals’ in Ghana Revealed in Bono
2 hours -
#TheManifestoDebate: NPP will ensure a safer, cleaner and greener environment – Dr Kokofu
2 hours -
2024 Election: Police to deal with individuals who will cause trouble – IGP
2 hours -
Seychelles President’s visit rekindles historical and diplomatic ties with Ghana
3 hours -
Election 2024: EC destroys defective ballot papers for Ahafo and Volta regions
3 hours -
2024 Election: I am sad EC disqualified me, but I endorse CPP’s candidate – PNP’s Nabla
3 hours -
I want to build a modern, inclusive country anchored by systems and data – Bawumia to CSOs
3 hours