The Bank of Ghana (BoG) has raised a total of GH¢5.69 billion through the issuance of 56-day central bank bills as part of its ongoing liquidity-tightening strategy aimed at reining in inflationary pressures within the economy.

The auction, conducted on June 23, 2025, cleared at an interest rate of 27.9%, aligning with the prevailing monetary policy rate.

The issuance forms part of the BoG’s Open Market Operations (OMO), a key monetary policy instrument employed to regulate the money supply, influence short-term interest rates, and communicate the policy stance of the central bank to market participants.

The high yield in line with the benchmark policy rate underscores the central bank’s hostile posture, even as it seeks to balance its disinflation objectives with the need to support economic recovery under Ghana’s US$3 billion International Monetary Fund (IMF) Extended Credit Facility (ECF) programme.

Despite the absence of bid coverage details, the sizeable issuance suggests a strong level of institutional investor participation signalling market confidence in the BoG’s inflation-fighting framework and the broader policy direction.

Proceeds from the short-term bills are expected to provide short-term budgetary support to government operations, while also serving as a liquidity absorption mechanism to temper demand-side pressures in the economy.

SP/AE

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