Treasury Rates for July 13th 2020

Security	Interest Rates
91 – Day Bill	13.9889 %
182 – Day Bill	14.0204 %
364 – Day Bill	16.9160 %

This week, short-term Government of Ghana (GoG) Treasury bill rates was mixed as the 91-day rose to build on previous week’s gains whilst the 182-day registered a dip to erode part of previous week’s gain. This week’s Treasury rates comes ahead of the announcement of consumer prices for June where the rate of inflation is expected to remain in the double digits.

The 91-day bill gained 2 basis points (bps) this week to build on previous week’s 2 bps rise. It rose from 13.9727% posted last week to 13.9889% this week, its highest in three weeks.

The yield on the 182-day bill wiped off previous week’s 7 bps jump as it fell by same this week. It dipped to 14.0204% this week from 14.0878% posted last week.

The 364-day bill, in line with the recent jumps in the rates of inflation, rose by 2 bps this week to build on previous weeks 5 bps increase. It rose from 16.8938% at its last issuance to 16.9160% this week.

Week-on-Week Changes for 13^th July, 2020

	6-Jul-20	13-Jul-20	CHANGE	PERCENTAGE CHANGE
91 – Day	13.9727%	13.9889%	0.0162	0.1159%
182 – Day	14.0878%	14.0204%	-0.0674	-0.4784%

Auction results from Bank of Ghana (BoG) tender 1702 further indicated that demand for the government’s short term Treasury assets stalled this week as rates struggle to pick up.

A total of GHC 933.18 million bids were tendered for the 91-day, 182-day, and 364-day bills, against the government’s target amount of GHC 1,244 million. The government subsequently accepted all bids tendered.

Next week, the government is expected to reduce its target amount to raise a total amount of GHC 803.00 million from 91-day and 182-day bills.