Treasury Rates for July 12th 2021

Security	Interest Rates
91 – Day Bill	12.5637%
182 – Day Bill	13.3676%
364 – Day Bill	16.3202%

Ahead of the announcement of the inflation figure for June where hikes in fuel price coupled with increases in the prices of some commodities are expected to mount a slight upward pressure on the consumer price index, the yields on the Government’s short-term Treasury assets continued its sluggish performance this week buoyed by strong expression of interest by investors.

The 91-day bill after closing the first half of the year with a year-to-date depreciation of 10.4%, its worst in more than 3 years, further extended its losing streak as it dipped by 2 basis points (bps) this week. It weakened to 12.5637% this week from 12.5873% registered last week.

The yield on the 182-day bill declined by 1 bps this week after posting a marginal loss last week. It fell from 13.3783% last week to 13.3676% this week.

The 364-day bill similarly tumbled by 1 bps this week as it failed to upend weeks of sluggish performance. It fell from 16.3329% posted last week to 16.3202% this week.

Week-on-Week Changes

Term	Previous	Current	Change	Percentage Change	Year-to-Date
91 – Day	12.5873%	12.5637%	-0.02	-0.19%	-10.87%
182 – Day	13.3783%	13.3676%	-0.01	-0.08%	-5.53%
364 – Day	16.3329%	16.3202%	-0.01	-0.08%	-3.79%

Auction results from Bank of Ghana (BoG) tender 1754 showed that after demand came in weak last week, demand for short-term Treasury assets rose impressively this week to beat the government’s target amount amid declining rates and a buoyant stock market.

A total of GHC 1,550.29 million worth of bids were tendered for the 91-day, 182-day, and 364-day bills against the government’s target amount of GHC 1,305.00 million. The government subsequently accepted all bids tendered.

Next week, the government will be seeking to raise a total of GHC 1,281.00 million from 91-day and 182-day bills.