| Period | Interest Rates |
| 91 – Day | 14.6980% |
| 182 – Day | 15.1452% |
| 364 – Day | 18.2104% |
Short-term Government of Ghana (GoG) Treasury bill rates continued to mount an upward pressure on the short-term end of the yield curve ahead of a policy rate announcement later in the day. The consumer price index has posted a mixed performance since the last policy rate announcement in November, 2018 and it is expected that the Monetary Policy Committee (MPC) of the Bank of Ghana (BoG) would continue to stay on its cautious stance.
This week, the yield on the 91-day bill rose marginally to build on previous weeks’ gains. It gained 1 basis point (bps) this week to 14.6980% its highest since May, 2017, up from 14.6908% recorded last week.
The yield on the 182-day bill built on previous weeks’ gains to post its fourth consecutive week-on-week gain. It rose by 3 bps from 15.1122% posted last week to 15.1452% this week, its highest in 90 weeks.
Week on week changes for 28th January, 2018
| 21-Jan-19 | 28-Jan-19 | CHANGE | PERCENTAGE CHANGE | |
| 91 – Day | 14.6908% | 14.6980% | 0.0072 | 0.0490% |
| 182 – Day | 15.1122% | 15.1452% | 0.0330 | 0.2184% |
Auction results from Bank of Ghana (BoG) tender 1626 further showed that demand for the short-term Treasury instruments rose sharply to beat the government’s target amount of GHC 460.00 million. Demand for both the 91-day and 182-day bills was oversubscribed by 31% as yields continue to pick-up on higher inflation expectations. Total bids tendered and accepted for both the 91-day and 182-day bills came in at GHC 602.45 million.
The yield on the 1-year term note surprised investors as it rose to its highest since first week in April, 2017. Demand for the 1-year term note was weak despite the yield recording a 164 bps increase from 16.5672% to 18.2104%. Total bids tendered and accepted stayed at GHC 37.54 million against the government’s target amount of GHC 100.00 million.
Next week, the government is expected to raise a total of GHC 662.00 million from 91-day, 182-day and 364 day bills.
The Treasury Yield Curve
