The Central Bank of the Bahamas published its Q1 2026 Quarterly Market Brief, reporting that investor demand for domestic government securities exceeded supply, with an overall market absorption rate of 109% compared with 93% in Q4 2025. Approximately USD 1.4bn in government paper was issued during the quarter, primarily for refinancing. Treasury bills represented 93% of issuance and recorded an average absorption rate of 105%, with the 182-day tenor averaging 166%. Bahamas Registered Stock accounted for 7% of issuance; investor uptake totalled USD 166.3m, implying an oversubscription of USD 65m, and the average absorption rate rose to 164% from 112% in Q4 2025. Demand was concentrated in shorter maturities, with the 3-, 5- and 7-year tranches accounting for about 88% of subscriptions, while 10-, 20- and 30-year tranches attracted 12%. The brief also noted an inverted yield curve at the short end and a 14 basis point decline in the 30-year yield by end-March 2026 versus end-December 2025.
Central Bank of the Bahamas 2026-04-21
Central Bank of the Bahamas reports stronger demand for government securities with 109% market absorption in Q1 2026
The Central Bank of the Bahamas, in its Q1 2026 Quarterly Market Brief, reported that investor demand for domestic government securities remained strong, with an overall market absorption rate of 109% versus 93% in Q4 2025 on issuance of approximately USD 1.4bn, mainly for refinancing. Treasury bills comprised 93% of issuance and Bahamas Registered Stock 7%, with demand concentrated in shorter tenors and an inverted yield curve alongside a 14 basis point decline in the 30-year yield by end-March 2026.