ACI Ghana weekly money market update – August 19, 2024

Below is Ghana’s money market update for the week beginning August 19, 2024.

KEY TAKEAWAYS

The yield for 91-Day increased by 1.8 bps, to close at 24.84%, 182-Day and 364-Day Treasury Bill were down at 1.7 bp and 1.bp at 26.75% and 27.85% respectively. The BOG 56-day bill and interbank rate were flat at 29.00% an  28.84%.

Expected maturities for the week of August 19, 2024, include:

>> GHS 3.90 billion in Treasury Bill maturities comprising:

1. GHS 2.49 billion in 91-day maturities due on August 19^th
2. GHS 1.28 billion in 182-day maturities due on August 19^th
3. GHS 126.67 million in 364-day maturities due on August 19^th

>> GHS 1.97 billion in 56-day Bill maturities comprising:

1. GHS 1.69 billion due on August 19^th
2. GHS 279 million due on August 21^st

The Treasury Bill auction demand on Friday was undersubscribed for a sixth consecutive week by 6.91%. A total of GHS 4.625 billion in bids was accepted. The amount accepted was below the auction target of GHS 4.968 billion by GHS 343.73 million.

Money Market Term(s) of the Week

ISDA Master Agreement – Bottom Line: This Master Agreement as customized by the Schedule and further declined by the definition booklets lays out the terms that will govern the specific transactions entered into by the parties. These specific transactions, in turn, are documented using confirmations outlining the economic terms of the given transaction. The ISDA master agreement can be summed up as dealing with 1. Events 2. Payments and Deliveries 3. Close Out and Netting 4. Disputes 5. Contracts Formation 6. Disputes Relations.