Treasury Rates [March 17, 2025]

Security	Interest Rates
91 – Day Bill	15.8624%
182 – Day Bill	16.9287%
364 – Day Bill	18.9653%

The disparity between a sticky downward inflationary path and the sharp decline in Treasury bill rates widened further this week as real returns on investments worsened to an average of -5.85%. The sharp and deep cut in Treasury yields in recent times is widely coming on the heels of strong investor confidence in the new government, pushing investors to throng to the government’s short-term securities. The monetary policy committee of the central bank is due to sit later in the month, where it is expected that the decision on the monetary policy direction will give a clearer hint of the future path of interest rates.

The yield on the 91-day bill posted a relatively slower decline this week, weakening by 186 basis points (bps) compared to last week’s 307 bps dip. It fell to 15.8624% this week, down from 17.7184% posted last week.

The 182-day bill suffered the biggest decline this week, coming in with a loss of 204 bps compared to last week’s 402 bps dip. It moved down from 18.9682% posted last week to clear at 16.9287% this week.

The 364-day bill went down by 102 bps this week after sustaining a 272 bps dip last week. It cleared at 18.9653% this week from 19.9833% posted last week.

Week-on-Week Change

Tenor	Previous	Current	w-o-w Change	w-o-w Change (%)	Year-to-Date
91 – Day	17.7184%	15.8624%	-1.86	-10.47%	-43.73%
182 – Day	18.9682%	16.9287%	-2.04	-10.75%	-41.46%
364 – Day	19.9833%	18.9653%	-1.02	-5.09%	-37.10%

Auction results of tender 1946 revealed that the strong interests expressed by investors in the government’s papers over the past few weeks slowed at last Friday’s auction as the negative real returns reached a worrying level. Although the government’s target was oversubscribed by 12.16%, this was far below the over 50.0% oversubscription rates realized in recent times.

A total of GHS 9,264.69 million worth of bids were tendered for the 91, 182, and 364 tenors against the government’s target amount of GHS 8,260.00 million. The government accepted all GHS 6,223.58 million worth of bids tendered for its 91-day bill and accepted 98.36% and 61.85% of the GHS 1,833.50 million and GHS 1,207.61 million worth of bids tendered for the 182-day and 364-day bills respectively.

In the week ahead, we expect the government to return to the domestic market in an attempt to mobilize GHS 6,142.00 million from 91-day, 182-day, and 364-day bills to meet GHS 5,397 million worth of maturing papers due next week.