The cost of interest on Treasury bills issued by the Government of Ghana over the past three months is estimated to be GH4.416 billion.

Joe Jackson, the Executive Director of Dalex Finance, made the disclosure.

In the last three months, the government is said to have purchased a total of T-bills worth GH33.08 billion.

The government offered the treasury instruments for sale at an average yield of 35%.

At a rate of 35.72 percent, the government obtained GH12.60 billion in December 2022.

In January 2023, the government mobilized GH7.3 billion at a rate of 35.66 percent, suggesting that it had reduced its appetite for short-term securities.

However, in February 2023, the government’s borrowing from T-bills increased significantly to GH13.1 billion at an interest rate of 35.50%.

In a tweet, Joe Jackson inquired, “Should you be cautious when buying T-bills?”

“Over the past three months, the Ghanaian government has purchased GH33.08 billion. He noted that the weighted average interest rate was 35.62 percent and would cost a staggering 4.42 billion Ghana shillings.

The significant borrowing on the short-term market is evidence that the treasury market appears to be the government’s sole source of borrowing at this time.