The government recorded its eighth consecutive over-subscription in 2026, demonstrating the durability of Ghana’s domestic money market.
Despite a sharp drop in interest rates across all tenors, investor demand substantially tripled government estimates in the most recent Treasury bill auction, which took place on February 20, 2026.
In order to raise GHC9.322 billion, the government entered the auction.
Nevertheless, a huge tidal wave of offers worth GHC25.201 billion was received.
The government might have taken more, but it was cautious and only accepted GHC11.410 billion, which was still far beyond its original goal and about 45% of all offers received.
The subscription rate was 270.33 percent, and the oversubscription rate was 170.33 percent.
Interest rates significantly dropped during the auction, suggesting that market expectations may have changed.
At a yield of 6.45%, the government accepted GHC3.187 billion out of the GHC8.605 billion in proposals made for the 91-Day Bill.
Investors contributed GHC7.219 billion for the 182-Day Bill, of which GHC2.445 billion—at an interest rate of 8.18 percent—was approved.
The 364-Day Bill was the most widely accepted; the government accepted GHC5.777 billion at a return of 10.21 percent, while offers totalled GHC9.376 billion.
This persistent over-subscription shows that, in the current economic environment, home investors have a strong preference for government debt.
The rates’ downward trajectory points to a cooling of the high-interest-rate climate of prior years, which may ultimately result in cheaper borrowing costs for the entire economy.
The government has set a far lower goal for the upcoming T-bill auction, aiming to raise GHC5.805 billion.
As the Treasury reduces its borrowing requirements for the coming week, analysts will be closely monitoring if the strong demand continues.
Source: newsthemegh.com