BTr partially awards T-bills after rate upticks

By Joann Villanueva

February 12, 2018, 10:09 pm


MANILA -- Banks continue to ask for high yields for government-issued securities, prompting the Bureau of the Treasury’s (BTr) auction committee to partially award Treasury bills Monday.

The Committee awarded PHP7.394 billion worth of the shortest-tenor T-bill after bids surpassed the PHP9-billion offering at PHP13.024 billion.

Tenders for the six-month paper reached PHP6.069 billion, higher than the PHP6 billion offering but the auction committee only accepted PHP5.189 billion worth of bids.

Bids for the one-year paper reached PHP3.87 billion, lower than the PHP5-billion offering, hence, the Committee’s decision to award only PHP1.590 billion.

Rate of the benchmark 91-day T-bill rose to 2.670 percent, higher than the 2.321 percent it fetched during the auction last Jan. 29 but lower than the 2.7461 percent in the secondary market Monday morning.

The 182-day paper’s average rate stood at 2.854 percent, up from 2.577 percent in the previous auction, but lower than the 3.4218 percent in the secondary market.

Average rate of the one-year paper increased to 3.040 percent, higher than the 2.925 percent in the previous BTr T-bill auction but lower than the 3.6914 percent in the secondary market Monday morning.

The BTr offered a total of PHP20-billion worth of debt securities but awarded only PHP14.173 billion even as tenders reached PHP22.96 billion. (PNA)