The Bank of Ghana sold GH¢18.88 billion in 14-day bills at its latest tender, underscoring the central bank’s continued use of short-term instruments to manage liquidity conditions in the domestic money market.
According to Notice to Banks and Public No. 862, the auction was held on May 20, 2026, with the Bank of Ghana issuing a 14-day BoG bill under ISIN GHCBAGH01058.
The tender attracted bid rates ranging from 10.4000 percent to 10.4580 percent per annum, with all bids allotted in full within the same range.
The weighted average discount rate was 10.4550 percent, while the weighted average interest rate stood at 10.4972 percent for the period between May 20 and May 22, 2026.
The total amount sold was GH¢18,883.05 million, making the operation a significant liquidity absorption exercise by the central bank.
The latest bill sale comes at a time when Ghana’s domestic interest-rate environment has fallen sharply, with the Bank of Ghana’s policy rate reduced significantly over the past year and Treasury bill yields also declining.
The strong size of the auction suggests that the central bank remains focused on liquidity management even as the broader policy environment shifts toward lower interest rates and improved credit conditions.
BoG bills are typically used as open market operation instruments to manage short-term liquidity in the banking system.
By issuing such securities, the central bank can absorb excess liquidity that might otherwise create pressure on inflation, exchange rates or short-term market rates.
The weighted average interest rate of 10.4972 per cent also places the 14-day instrument close to prevailing short-term money market levels, suggesting that the Bank is seeking to maintain alignment between liquidity operations and its broader monetary policy framework.
The operation is particularly important given recent concerns about preserving Ghana’s disinflation gains while managing renewed risks from the cedi, crude oil prices, and external commodity pressures.
For banks, the auction provides a short-term investment outlet for excess liquidity. The Bank of Ghana offers a mechanism to keep liquidity conditions consistent with its price stability objective.
