The Government of Ghana fell short of its Treasury bills fundraising target at the latest auction after accepting GH¢3.16 billion out of a planned GH¢3.37 billion, despite receiving bids worth more than GH¢4 billion.
Results of Tender 2014, conducted on July 2, 2026, showed that investors submitted bids totaling GH¢4.16 billion across the 91-day, 182-day and 364-day Treasury bills. However, the government accepted only GH¢3.16 billion, leaving a funding gap of approximately GH¢207.73 million. The securities are scheduled to be issued on July 6, 2026.
The outcome marks a significant slowdown compared to the previous auction, where investor demand reached GH¢7.37 billion and the government accepted GH¢6.01 billion.
The 91-day Treasury bill remained the government’s preferred source of short-term financing. It attracted GH¢1.69 billion in bids, of which GH¢1.63 billion was accepted, representing an acceptance rate of nearly 97 percent.
The bill cleared at a weighted average discount rate of 5.7880 percent, translating into an interest rate of 5.8730 percent. Accepted bids ranged from 5.2307 percent to 5.9113 percent on a discount-rate basis.
The 182-day bill recorded bids totaling GH¢618.90 million, with GH¢435.82 million accepted. It settled at a weighted average discount rate of 7.4963 percent, equivalent to an interest rate of 7.7883 percent.
Meanwhile, the 364-day bill attracted the strongest investor interest, with bids reaching GH¢1.86 billion. However, the government accepted only GH¢1.10 billion, representing just over 59 percent of the amount offered by investors.
The one-year bill cleared at a weighted average discount rate of 11.4492 percent, equivalent to an interest rate of 12.9295 percent. Accepted interest rates ranged up to 13.00 percent.
The auction results indicate that the government remained selective in accepting bids, particularly for the longer-term instrument, as it continued efforts to keep borrowing costs under control.
Although investor demand exceeded the government’s target, a substantial number of bids were rejected, suggesting the Treasury was unwilling to accept higher borrowing rates.
Compared to the previous week’s auction, accepted bids declined by GH¢2.85 billion, pointing to a noticeable moderation in market activity.
Analysts believe the weaker auction could reflect changing liquidity conditions or investors adjusting their positions ahead of the Bank of Ghana’s next Monetary Policy Committee meetings scheduled for July 20 to July 22, 2026.
The policy meeting is expected to provide fresh guidance on inflation, liquidity conditions and the future direction of interest rates, making it a key event for financial markets.
Despite the undersubscribed auction, Treasury bill yields remained relatively stable. Interest rates stayed below 6 percent for the 91-day bill, below 8 percent for the 182-day bill and below 13 percent for the 364-day bill.
Looking ahead, the government is targeting GH¢5.67 billion in the next Treasury bills auction. The upcoming sale will be closely watched by investors to determine whether the latest shortfall was a temporary dip in demand or the start of a more cautious investment environment in Ghana’s domestic debt market.
