Ghana’s latest Treasury bill auction recorded a 4% oversubscription, with investors submitting bids worth GH¢2.55 billion against the government’s target of GH¢2.45 billion.
The auction, which marked the final primary market sale for October 2026, highlights a moderation in investor demand for government securities.
According to the latest Bank of Ghana (BoG) data, total bids declined by approximately 40% compared with the previous week. Despite the oversubscription, the government accepted only GH¢1.92 billion, representing about 78% of its target, as the Treasury continued its selective acceptance strategy.
91-Day Treasury Bills Attract Highest Investor Demand
The 91-day Treasury bill remained the most popular investment option, attracting bids worth GH¢1.51 billion. The government accepted GH¢1.23 billion from the total amount tendered.
For the 182-day Treasury bill, investors submitted GH¢423.74 million in bids, with GH¢395.74 million accepted. Meanwhile, the 364-day Treasury bill attracted GH¢613.83 million, out of which the Treasury accepted GH¢292.12 million.
Ghana Treasury Bill Auction Performance in October 2026
Cumulative bids across Ghana’s primary Treasury bill auctions for October reached GH¢19.97 billion, exceeding the government’s combined target of GH¢16.27 billion.
However, the Treasury accepted only GH¢14.97 billion during the month, rejecting approximately GH¢5 billion in investor offers. This left total government acceptances about GH¢1.3 billion below the cumulative borrowing target.
The selective acceptance policy is aimed at managing domestic borrowing costs and preventing excessive increases in Treasury bill interest rates.
Treasury Bill Interest Rates Decline Further
The government’s approach has contributed to keeping Treasury bill yields below the 5% to 10% range, offering relatively lower returns to investors.
The latest auction results showed that:
- 91-day Treasury bill yield: Declined by 1 basis point to 4.60%.
- 182-day Treasury bill yield: Fell by 4 basis points to 6.26%.
- 364-day Treasury bill yield: Dropped by 7 basis points to 9.60%.
The decline in Treasury bill rates reflects the government’s efforts to manage borrowing costs while navigating investor demand in the domestic debt market.
Government Targets GH¢3.54 Billion in Next Treasury Bill Auction
For the next Treasury bill auction, the government is targeting GH¢3.54 billion through the issuance of 91-day, 182-day and 364-day securities.
Investors and financial market participants will be closely monitoring the upcoming auction for indications of changing market sentiment, domestic investment demand and the direction of Ghana’s short-term government borrowing costs.
Source: newsthemegh.com