By Issah Olegor
The National Democratic Congress government has once again fallen short of its treasury bill (T-bill) target as weak investor demand continues to plague the domestic debt market.
According to the latest auction results released by the Bank of Ghana, bids on treasury bills were undersubscribed by 30.45%, reflecting a persistent shift among investors toward alternative financial instruments that promise higher returns.
The government had targeted GH¢5.67 billion in total subscription for the November auction but received only GH¢3.94 billion.
Analysts attribute the shortfall to market participants’ growing preference for more lucrative options such as corporate bonds and equities, amid concerns over the real yields offered by government securities.
Breaking down the results, the 91-day T-bill accounted for more than 77% of total bids, with GH¢3.07 billion tendered and GH¢2.97 billion accepted.
The 182-day bill received bids totaling GH¢613.27 million, of which GH¢608.27 million were accepted. The 364-day instrument attracted GH¢257.13 million in bids, with GH¢254.13 million approved.
Despite the weak subscription, the yields on all instruments remained unchanged from the previous auction.
The 91-day bill maintained a yield of 11.02%, while the 182-day bill stayed at 12.66% and the 364-day bill held steady at 13.08%.
