Don’t Invest in T-Bill Only, Diversify to Grow Your Money – Analyst

Economic Analyst Emmanuel Boateng has cautioned investors against concentrating all their savings in a single Treasury bill, urging Ghanaians to adopt a more strategic and diversified approach to managing their finances.

Speaking on Business Breakfast on Zed 101.9FM, Mr. Boateng advised savers to spread their investments across different Treasury bill tenures to ensure both liquidity and better returns.

“Don’t put all your savings in one T-bill. Spread it across the territory. This way, you have bills maturing at different times, giving you both liquidity and a higher return,” he stated.

According to him, Treasury bills should be reserved for funds that are not immediately needed. He stressed the importance of separating emergency funds from longer-term investments.

“T-bills should be for money you don’t need immediately. Keep your emergency fund set, one to two months of your expenses in easily accessible mobile money or a savings account. Then you use T-bills for the rest of your emergency fund and additional savings,” he explained.

Mr. Boateng warned against keeping large sums of money idle in low-interest accounts or at home, arguing that such practices undermine wealth creation.

“If your emergency fund is just lying under your pillow or in a certain savings account, the interest you get is not as high as the T-bill. If your emergency fund has been lying down for one month, two months, and you’ve not used it and it was not invested, then you’ve not done well,” he noted.

He emphasized that money must be made to work, especially in an economy affected by inflation and other financial pressures.

“A cedi today is worth more than a cedi tomorrow. With the impact of inflation and economic challenges, if your money is not growing, what will be growing is perhaps your poverty level,” he stressed.

The economist referenced the biblical Parable of the Talents, where a master rewarded servants who multiplied their allocations but rebuked the one who buried his share instead of investing it.

Mr. Boateng’s comments come at a time when many Ghanaians are turning to Treasury bills as a relatively secure investment option. However, he maintained that strategy, diversification, and proper planning remain essential.

He said by spreading investments across different maturities and maintaining an accessible emergency buffer individuals can strike a balance between liquidity and returns while safeguarding their financial future.