For the sixth time in a row, the government has missed its treasury bills target, recording an undersubscription of about 6.91% in the latest auction.

The Bank of Ghana's recent data indicates a continued lack of investor interest in treasury bills.

The auction attracted GH¢4.6 billion in bids, falling short of the GH¢4.9 billion target.

Of the bids received, GH¢3.6 billion were allocated to the 91-day bill, representing 78.26% of the total, and these were all accepted. Additionally, bids totaling GH¢733.59 million for the 182-day bill and GH¢284.92 million for the 364-day bill were also fully accepted.

Interest rates on the money market remain steady, ranging from 24% to 27%.

Analysts suggest that the shortfall is due to the government's high auction targets and tight liquidity conditions, which have been worsened by recent cash reserve ratio requirements.

The government has communicated to the International Monetary Fund that its immediate goal is to issue enough treasury bills to cover the budget deficit. In the short term, the focus will be on securing adequate domestic financing, with structural market improvements planned for the medium term.