T-Bill auction oversubscribed by 72.51%
Government of Ghana prolonged its strong borrowing momentum in the domestic money market as its latest Treasury bill auction, Tender 2016, closed with a massive GH¢12.7 billion.
The auction was oversubscribed by 72.51 per cent.
Facing a target of GH¢7.362 billion on Friday, 17 July 2026, the Bank of Ghana was swamped with investor offers totalling GH¢12.700 billion.
The massive turnout marks a continuous four-week streak of oversubscriptions, underlining robust domestic liquidity and sustained investor confidence in short-term government paper.
To anchor borrowing costs, the Treasury opted not to absorb the entire pool of liquidity, accepting GH¢9.978 billion and leaving an unaccepted balance of approximately GH¢2.721 billion.
A breakdown of the tenors shows highly asymmetric interest across the maturity spectrum. The short-dated 91-Day Bill secured GH¢3.514 billion in bids, with the state accepting GH¢3.041 billion at a yield of 5.78 per cent. Meanwhile, the 182-Day Bill saw the lowest volume, drawing total offers of GH¢873.97 million, of which GH¢584.98 million was taken at an interest rate of 7.67 per cent. The longest paper, the 364-Day Bill, emerged as the standout favourite, pulling in GH¢8.311 billion in bids — over 65 per cent of the total market demand — with government accepting GH¢6.352 billion of these long-tenor offers at a dominant yield of 12.99 per cent.
The subscription rate was 172.51 per cent, the oversubscription rate was 72.51 per cent, while the acceptance rate was 78.57 per cent.
This calculated financing sweep provides government with a comfortable fiscal buffer to manage upcoming short-term debt maturities without giving in to aggressive commercial bidding pressures.
Source: 3news.com by Eben Agyekum-Boateng
