Treasury Rates for July 27th 2020

Security	Interest Rates
91 – Day Bill	13.9685 %
182 – Day Bill	14.0531 %
364 – Day Bill	16.8193 %

This week, short-term Government of Ghana (GoG) Treasury bill rates posted a mixed performance, reversing the pattern of previous week’s mixed results. This week’s performance of the government’s short-term assets comes after the monetary policy committee of the Bank of Ghana stalled the policy rate at 14.5% for the second consecutive time.

The 91-day bill rose by 10 basis points (bps) to recover part of previous week’s 12 bps decline. It rose from 13.8704% posted last week to 13.9685% this week.

The 182-day bill was little changed this week as it declined marginally to 14.0531% this week from 14.0580% posted last week.

The yield on the 364-day bill declined by 10 bps this week to erase part of previous issuance’s 2 bps rise. It dipped from 16.9160% at its last issuance to 16.8193% this week.

Week-on-Week Changes for 27^th July, 2020

	20-Jul-20	27-Jul-20	CHANGE	PERCENTAGE CHANGE
91 – Day	13.8704%	13.9685%	0.0981	0.7073%
182 – Day	14.0580%	14.0531%	-0.0049	-0.0349%

Auction results from Bank of Ghana (BoG) tender 1704 further showed that as the government embarks on moves to increase its borrowing from the local market to meet its widened fiscal deficit, demand for Treasury assets continue to remain sluggish.

A total of GHC 1,063.42 million bids were tendered for the 91-day, 182-day, and 364-day bills, against the government’s target amount of GHC 1,261.00 million. The government subsequently accepted all bids tendered.

Next week, the government is expected to half its intended target amount to raise a total amount of GHC 617.00 million from 91-day and 182-day bills.