For the third consecutive week, investor appetite for Treasury bills remained strong on the primary market, with the latest auction attracting GH¢12.70 billion in bids, significantly exceeding the government’s fundraising target.

According to results released by the Bank of Ghana, investors submitted GH¢12.70 billion in bids across the 91-day, 182-day and 364-day Treasury bill tenors, against a target of GH¢7.36 billion. The auction recorded an oversubscription of 72.5%, highlighting sustained demand for short-term government securities.

The Treasury accepted GH¢9.98 billion of the bids received, raising GH¢2.62 billion above its target as it continued to capitalize on strong investor demand.

The 364-day Treasury bill remained the most sought-after instrument, attracting GH¢8.31 billion in bids. The Treasury accepted GH¢6.35 billion, accounting for nearly two-thirds of the total amount raised.

The benchmark 91-day bill drew GH¢3.51 billion in bids, of which GH¢3.04 billion was accepted. Meanwhile, investors tendered GH¢873.97 million for the 182-day bill, with the Treasury accepting GH¢584.98 million.

Yields were mixed across the curve. The yield on the 91-day bill eased to 5.78% from 5.86% in the previous auction, while the 182-day bill declined to 7.68% from 7.79%. The yield on the 364-day bill, however, edged up marginally to 13.00% from 12.99%, reflecting continued demand for higher returns on longer-dated government securities.

The latest auction builds on the strong momentum recorded in Tender 2015, which attracted more than GH¢10 billion in bids. The third consecutive oversubscribed auction points to sustained investor confidence in government securities despite elevated yields.

Looking ahead, the government plans to raise GH¢9.49 billion in the next auction as it seeks to meet its short-term financing requirements.