Treasury Rates for March 9th 2020

Period	Interest Rates
91 – Day	14.7502 %
182 – Day	15.1899 %
364 – Day	17.7874 %
3-Year Fixed Rate	20.7500 %

This week, short-term Government of Ghana Treasury bill rates picked up from previous week’s lows ahead of the announcement of consumer price data later in the week. The 91-day, 182-day, and 364-day bills recovered from previous week’s dip despite expectations of lower inflation in February.

The yield on the 91-day bill gained 1 basis points (bps) to recover part of previous week’s 2 bps dip. It rose from 14.7324% posted last week to 14.7502% this week.

Similarly, the 182-day bill gained 1 bps to recover from previous weeks’ low. It rose from 15.1716% posted the previous week to 15.1899% this week, its highest since first week in July, 2019.

The 364-day bill recorded its biggest weekly appreciation in 2020 as it gained 7 bps to recover part of previous week’s 10 bps dip. It surged to 17.7874% this week from 17.7108% posted the previous week.

Week-on-Week Changes for 9^th March, 2020

	2-Mar-20	9-Mar-20	CHANGE	PERCENTAGE CHANGE
91 – Day	14.7324%	14.7502%	0.0178	0.1208%
182 – Day	15.1716%	15.1899%	0.0183	0.1206%

Auction results from Bank of Ghana (BoG) tender 1684 further indicated that demand narrowly missed the government’s target despite the uptick in short-term Treasury instruments.

Total bids tendered for the 91-day, 182-day, and 364-day bills came in at GHC 919.75 million, against the government’s target amount of GHC 1,037.00 million. The government accepted GHC 918.82 of bids tendered.

As per the government’s issuance calendar for the first quarter of the year, the government issued a 3-year fixed-rate bond where the yield on the bond remained unchanged at 20.75%. The government, however, could not meet its intended target of GHC 1,500.00 million. The government subsequently accepted all GHC 1,073.81 million bid tendered.

Next week, the government is expected to slightly reduce its target amount to raise a total of GHC 1,000.00 million from 91-day, 182-day, and 364-day bills.