Treasury bill auction results should matter to every Ghanaian — Analyst
By: Rebecca Okine
Ghanaians have been urged to pay closer attention to government Treasury bill (T-bill) auction results, as they carry real consequences for everyday life, according to economic analyst Emmanuel Boateng.
His caution follows the latest auction data from the Bank of Ghana, released on Friday, June 13, 2025, which showed the government missed its short-term borrowing target by GHS393 million. The government aimed to raise GHS 7.58 billion through the sale of T-bills but received total bids of only GHS 7.19 billion—a 5.19 percent undersubscription.
“It’s like going to borrow one million cedis and walking away with just 700,000. That shortfall matters because it means government doesn’t have the full amount it needs to finance essential services,” Mr. Boateng explained during an interview on Zed FM’s Business Breakfast Show.
T-bill auctions are conducted weekly by the government to raise funds for short-term needs, including salary payments and operational expenses. In this latest auction, almost all submitted bids were accepted, especially for short-term instruments, likely due to the government preparing to meet upcoming maturity obligations.
All GHS 6.02 billion tendered for the 91-day bills were accepted, along with the full GHS 995 million offered for the 182-day. For the 364-day tenor, GHS 173 million out of GHS 204 million in bids were accepted. Meanwhile, interest rates continued their gradual decline, with the 91-day rate dropping to 14.70 percent, the 182-day to 15.25 percent, and the 364-day to 15.74 percent.
Mr. Boateng explained that consistent undersubscriptions signal deeper issues in the market.
“When government fails to raise enough locally, it might turn to external borrowing which could worsen our debt situation and raise repayment costs in the long run,” he said.
He warned that if external borrowing is not an option, the alternative may be public spending cuts. “We all want government to keep spending, but what if it starts cutting essential services? That means schools, hospitals, and basic services could suffer,” he indicated.
Mr. Boateng also emphasized the ripple effects of such auction results on inflation, interest rates, and public sector delivery.
As Ghana continues to navigate economic recovery and manage growing debt, analysts like Mr. Boateng believe more public awareness and scrutiny of such financial indicators is essential.
