Treasury Rates for October 4, 2021

Security	Interest Rates
91 – Day Bill	12.4732%
182 – Day Bill	13.1769%
364 – Day Bill	16.2131%

The yields on the government’s short-term Treasury assets began the last quarter of the year posting a mixed performance as both the 91-day and 182-day bills fell from previous week’s levels whilst the 364-day bills tightened further to build on previous issuance’s gain.

Treasury yields in the preceding quarters of the year have been on a declining trend as demand for government securities remain high. The continuous fall in Treasury yields is expected to slow down in the fourth quarter on the back of the persistence of upward price pressures in consumer goods and services.

The yield on the 91-day bill lost by 2 basis points (bps) this week to build on last week’s loss. It dipped to 12.4732% this week from 12.4925% registered last week.

The 182-day bill failed to build on its last week’s gain as it declined by an equal margin to erase the gain posted last week. It fell from 13.2155% recorded last week to 13.1769% this week.

The 364-day bill rose by 8 bps this week, adding onto previous issuance date’s gain of 3bps. It climbed from 16.1358% last week to 16.2131% this week, its highest since mid-August.

Week-on-Week Changes

Term	Previous	Current	Change	Percentage Change	Year-to-Date
91 – Day	12.4925%	12.4732%	-0.02	-0.15%	-11.51%
182 – Day	13.2155%	13.1769%	-0.04	-0.29%	-6.88%
364 – Day	16.1358%	16.2131%	0.08	0.48%	-4.43%

Auction results from Bank of Ghana (BoG) tender 1765 showed that the recent sluggish demand for Treasury assets continued unabated as demand failed to beat targets for the fourth consecutive time.

A total of GHC 809.72 million worth of bids were tendered for the 91-day, 182-day, and 364-day bills against the government’s target amount of GHC 972.00 million. The government subsequently accepted all bids tendered.

Next week, the government will be seeking to raise a total of GHC 1,475.00 million from 91-day and 182-day bills.