Government’s short-term borrowing appetite continued to attract strong investor demand last week, as the Treasury exceeded its issuance target by GH¢2.08 billion.

Data from the Bank of Ghana show that total bids for the 91-day, 182-day and 364-day Treasury bills reached GH¢25.20 billion.

Of this amount, GH¢11.41 billion was accepted despite a GH¢9.32 billion target.

This reflects a measured issuance strategy amid evolving liquidity dynamics and declining yields.

The outturn represents an oversubscription rate of 170.3 per cent, extending the streak of excess demand to thirteen consecutive weeks and reinforcing sustained investor appetite for short-dated sovereign instruments.

A breakdown of the auction results indicates that the 91-day bill attracted GH¢8.60 billion in bids, with GH¢3.18 billion accepted.

The 182-day bill recorded GH¢7.22 billion in tenders, of which GH¢2.45 billion was allotted. Meanwhile, the 364-day bill saw GH¢9.38 billion in bids, with GH¢5.78 billion accepted the largest share of total allocation, highlighting continued investor preference for locking in comparatively higher yields on the longer end of the short-term curve.

Yields continued their downward trajectory across all tenors.

The 91-day bill declined by 215 basis points to 6.45 per cent. The 182-day bill fell more sharply, dropping 249 basis points to 8.18 per cent from 10.67 per cent. The 364-day bill eased by 86 basis points to 10.20 per cent from 11.06 per cent.

Looking ahead, the Treasury has set a lower target of GH¢5.81 billion for Tender 1996, compared with GH¢9.32 billion in the just-ended auction, signalling a potential moderation in short-term borrowing requirements amid strong demand conditions.