After three weeks of not getting enough bids, the treasury bills auction finally had a big win! This time, there were more bids than expected, with a cool oversubscription of 17.8%.
According to the Bank of Ghana, people wanted to invest a total of GH¢6.53 billion, but the goal was only GH¢5.54 billion. The Bank decided to accept GH¢5.97 billion in bids.
Most of the money came from the 91-day bill, which got about GH¢4.95 billion in bids. That’s a whopping 75.82% of all the bids! The Bank accepted GH¢4.58 billion for this bill.
For the 182-day bill, people wanted to invest GH¢890.81 million, and guess what? The Bank accepted all of it!
Lastly, there were bids for the 364-day bill totaling around GH¢689 million, and the Bank accepted GH¢499.76 million of that.
Now, let’s talk about interest rates, which are like the rewards you get for investing. This week, they dropped quite a bit!
- The interest rate for the 91-day bill went down a little, by 18 basis points, to 14.92%.
- The 182-day bill's interest rate also fell, going from 15.68% to 15.55%.
- The biggest drop was for the 364-day bill, which fell by 78 basis points to 16%.
So, there you have it! The treasury bills auction had a great week, with lots of bids and falling interest rates. Exciting stuff for those who like to invest!