ACI Ghana weekly money market update – June 24, 2024

Below is Ghana’s money market update for the week beginning June 24, 2024.

KEY TAKEAWAYS

Yields were flat on 91-Day at 24.87%, while 182-Day, and 1-Year T-Bills fell by 3 bps to close at 26.80%, and 27.79% respectively. BOG 56-day bill remained flat at 29.00% and the interbank rate rose 1 bp to close at 28.83%.

Expected maturities for the week of June 24, 2024, include:

>> GHS 3.34 billion in Treasury Bill maturities comprising:

1. GHS 2.48 billion in 91-day maturities due on June 24^th
2. GHS 746.11 million in 182-day maturities due on June 24^th
3. GHS 112.60 million in 364-day maturities due on June 24^th

>> GHS 841.97 billion in 56-day Bill maturities comprising:

1. GHS 712.63 billion due on June 24^th
2. GHS 129.34 billion due on June 26^th

The Treasury Bill auction demand on Friday was oversubscribed by 1.39%. The Government accepted all bids totaling GHS 3.604 billion. This exceeded the auction target of GHS 3.555 billion by GHS 49.40 million.

Money Market Term(s) of the Week

Risk-Free Rates (RFRs) – Euro Overnight Index Average (EONIA): The Euro Overnight Index Average (EONIA) is the average overnight reference rate at which European banks lend to each other in euros and is considered an interbank rate. However, European regulatory reforms resulted in the EONIA rate being replaced by the ESTER (Euro Short-Term Rate) in January 2022. EONIA is a daily reference rate that expresses the weighted average of unsecured overnight interbank lending in the European Union and the European Free Trade Association (EFTA). It is calculated by the European Central Bank (ECB) based on the loans made by 28 panel banks.