Treasury Bills Drive GH¢2bn Fixed-Income Trading as Investors Shun Broader Bond Market

Ghana’s fixed-income market recorded more than GH¢2.03 billion in turnover on Wednesday, with investors overwhelmingly favouring Treasury bills and a handful of Domestic Debt Exchange Programme (DDEP) bonds, underscoring the continued concentration of liquidity in government securities.

Trading on the Ghana Fixed Income Market reached GH¢2.03 billion across 730 transactions, with Treasury bills accounting for GH¢1.31 billion, or 64.3% of total market turnover. DDEP bonds contributed GH¢693.44 million (34.1%), while corporate bonds represented just GH¢24.82 million, highlighting the limited depth of Ghana’s non-sovereign debt market.

The trading pattern suggests institutional investors continue to favour shorter-duration government securities, reflecting a preference for liquidity and lower interest-rate risk despite improving macroeconomic conditions.

The most actively traded instrument was the Treasury bill maturing on July 26, 2027, which generated GH¢627.87 million in turnover through 59 transactions, accounting for nearly half of all Treasury bill trading and almost one-third of the market’s total value traded.

Meanwhile, the Treasury bill maturing on October 26, 2026 attracted the highest number of transactions, recording 416 trades worth GH¢22.82 million, indicating broad participation from market participants even though the total value exchanged was relatively modest.

Activity in the DDEP segment remained heavily concentrated in a small number of benchmark securities.

The 9.10% bond maturing on February 10, 2032 led the segment with GH¢335 million traded through just two transactions, while the February 2030 and February 2031 bonds recorded turnovers of GH¢158.73 million and GH¢117 million, respectively.

Together, the three bonds accounted for more than 88% of outright DDEP trading, suggesting that secondary-market liquidity remains concentrated among a narrow range of post-restructuring government securities rather than being broadly distributed across the yield curve.

The 2032 bond traded at a yield of 14.69%, significantly above its coupon rate, reflecting investors’ continued demand for higher returns on longer-term sovereign debt despite Ghana’s improving fiscal outlook.

Corporate bond activity remained subdued, with Ghana Cocoa Board (COCOBOD) securities dominating the segment. The August 2027 COCOBOD bond generated GH¢24.02 million across seven trades, while the August 2028 issue contributed just over GH¢804,000.

Repurchase transactions involving government securities added GH¢7.74 million to overall turnover, although no trades were recorded in the newly issued Government of Ghana bond segment, reinforcing the market’s continued preference for Treasury bills and established DDEP instruments.

The session illustrates that while liquidity within Ghana’s financial system remains robust, it is concentrated in securities that offer greater pricing transparency, stronger institutional demand and shorter duration. Expanding participation across the broader fixed-income market—particularly in corporate debt and longer-dated government securities—remains a key challenge for market development as authorities seek to deepen domestic capital markets.