ACI Ghana weekly money market update – October 7, 2024

Below is Ghana’s money market update for the week beginning October 7, 2024.

KEY TAKEAWAYS

The 91-day, 182-day and 364-day Treasury Bill yields were down by 19 bps, 12 bps and 16 bps, closing at 25.46%, 26.80% and 28.52%, respectively. The BOG 56-day BoG Bill was flat, whilst interbank rates fell by 83 bps and closed at 28.00% and 27.94%, respectively.

Expected maturities for the week of October 7, 2024, include:

>> GHS 2.99 billion in Treasury Bill maturities comprising:

1. GHS 2.51 billion in 91-day maturities due on October 7^th
2. GHS 417.58 million in 182-day maturities due on October 7^th
3. GHS 67.46 million in 364-day maturities due on October 7^th

>> GHS 5.57 billion in 56-day Bill maturities comprising:

1. GHS 2.53 billion due on October 7^th
2. GHS 3.04 billion due on October 9^th

Demand for the Treasury Bills remained low, with the auction on Friday being undersubscribed by 38.56%. A total of GHS 3.674 billion in bids was accepted. The amount accepted was below the auction target of GHS 5.98 billion by GHS 2.31 billion.

Money Market Term(s) of the Week

ISDA Master Agreement – Events – Events of Default – Types:

2. Breach or Repudiation of Agreement (Cont’ d): An event of default may also occur if a party repudiates or challenges the validity of the ISDA Master Agreement, confirmation or any transaction. This provision gives a party the right to terminate if the other party has indicated an intention not to perform its contractual obligations, even if the other party has not actually failed to perform.