T-bills auction: Government to borrow GH¢3.36bn on July 3, 2025

The government will borrow GH¢3.36 billion on the treasury market today, July 3, 2025.

This will be done through the issuance of 91-day, 182-day, and 364-day bills.

The amount to be raised will be used to settle maturing bills worth GH¢2.24 billion.

Last week, the Treasury primary auction remained under target for the 5^th consecutive week, with total bids amounting to GH¢3.64 billion against a target of GH¢3.38 billion.

Total uptakes stood at GH¢3.34 billion, falling short of the GH¢3.72 billion required to refinance maturing obligations.

Yields on the 91- and 182-day bills were broadly stable at 14.69% and 15.25%, respectively, while the 364-day yield eased by 3.0 basis points week-on-week to 15.66%.

“Last week we noticed strong alignment between offers and bids for the 91-day bill, with the upper bound of bids allotted edging up 17 basis points to 15.10%. We believe this signals investors’ strong and sustained preference for the 91-day bill over the 182-day bill. In our view, investors are willing to accept a marginal yield trade-off in exchange for shorter-term safety and flexibility, especially amid a narrowed yield spread now below 100 basis points”, Databank Research said.

 With demand waning and slowing yield compression, analysts expect sustained interest in the 91-day bill in the near term as disinflation prospects and bond market reopening expectations gain traction.

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