| Period | Interest Rates |
| 91 – Day | 14.8584% |
| 182 – Day | 15.3834% |
| 3 – Year Fixed Rate Bond | 19.7000% |
Short-term Government of Ghana (GoG) Treasury bill rates weakened this week after weeks of upward movements. This week’s decline in both short and medium-term GoG securities comes ahead of a monetary policy rate announcement where recent upticks in the consumer price index is likely to force a policy rate stay or reverse the policy easing trend. The inflation rate has cumulatively inched by 50 basis points (bps) between January and April, 2019.
After four weeks of consecutive strengthening, the yield on the 91-day Treasury bill dipped by 6 bps this week to a 3-week low. It declined from 14.9189% posted last week to 14.8584% this week.
The yield on the 182-day bill after posting an impressive 11 bps gain last week failed to build on previous weeks’ gains as it fell by 8 bps this week. It softened to 15.3834% this week from 15.4674% posted last week.
Week-on-week changes for 27th May, 2019
| 20-May-19 | 27-May-19 | CHANGE | PERCENTAGE CHANGE | |
| 91 – Day | 14.9189% | 14.8584% | -0.0605 | -0.4055% |
| 182 – Day | 15.4674% | 15.3834% | -0.0840 | -0.5431% |
Auction results from Bank of Ghana (BoG) tender 1643 further showed that demand for the government’s short-term Treasury instruments picked up as demand rose to beat the government’s expectations.
Total bids tendered for the 91-day and 182-day bills came in at GHC 747.23 million against the government’s target amount of GHC 708.00 million. The government accepted all bids tendered.
As per the government’s issuance calendar for the second quarter of the year, a 3-year fixed rate bond was issued to raise a total of GHC 800.00 million. There was however a slow demand for the medium-term Treasury instrument as total bids tendered and accepted came in at GHC 632.98 million. The yield on the 3-year fixed rate declined from 20.0000% to 19.7000%.
Next week, the government is expected to slightly increase its target amount to raise a total of GHC 746.00 million from 91-day, 182-day, and 364-day bills.
2019 91-Day and 182-Day Bills Trend
