by Linda Straker
- RGSM is a primary market for issue of securities by ECCU member countries
- EC$15 million Treasury Bill auctioned by Government on 2 September 2025
- Government intends to raise EC$105 million through Treasury Bills auction for 2025
The EC$15 million Treasury Bill auctioned by the Government of Grenada on the Regional Government Securities Market (RGSM) on 2 September 2025, was oversubscribed and raised EC$5 million more than the targeted amount.
“The Government of Grenada’s 91-day Treasury Bill, auctioned on the ECSE’s primary market platform raised $20 million. The competitive uniform price methodology used, resulted in a discount rate of 3.46972%,” said the daily trade report of the Eastern Caribbean Securities Exchange (ECSE). The prospectus for the auction stated that an oversubscription of up to EC$5 million on each of the auctions would be allowed, and as a result, there has been no deviation from the published prospectus nor that of the approved medium-term debt strategy.
The RGSM is a primary market for the issue of securities by the Governments of the member countries of the Eastern Caribbean Currency Union (ECCU). The regional nature of the market assists in promoting the unfettered flow of capital and liquidity across the currency union and leads to increased savings and investment opportunities for the private sector, supporting the overall growth objective.
According to the Government’s Prospectus for the 2025 Treasury Bills, all minimum bids will be EC$5,000. Each investor is allowed one bid with the option of increasing the amount being tendered until the close of the bidding period. Yields will not be subject to any tax, duty, or levy by the Participating Governments of the Eastern Caribbean Currency Union (ECCU).
The Treasury bill issues are being raised under the authority of the Public Debt Management Act 2015, amended (Act No 28 of 2023), Part 3, Section 13, Laws of Grenada. The Constitution of Grenada stipulates that Principal and Interest payments are direct charges on the Consolidated Fund.
The prospectus stated that the Government intends to raise EC$105 million through Treasury Bills auction for 2025. The Treasury bills are being issued as part of the Government’s Debt Management Strategy to lower the cost of the Government’s borrowing by reducing reliance on the overdraft facility.
