LEGAZPI CITY -- The government through the Bureau of Treasury (BTr) invited the public to invest in its new 3-year retail treasury bonds (RTBs) with a minimum investment of PHP 5,000 during the Bicol leg of its roadshow and investors' briefing at the Oriental Hotel Monday in this city.
BTr Director Ma. Nanette Diaz, in an interview on Monday, said the RTBs form part of the national government program to make government securities available to small investors.
“RTBs earn fixed interest rate, the interest rate is based on the prevailing market rate and it is paid quarterly during the term of the bond”, Diaz said.
Diaz added that RTBs are designed to be higher yielding yet affordable savings instruments.
“They are considered credit risk-free because they are direct, unconditional and general obligations of the Republic of the Philippines. RTBs are higher-yielding as their interest rates are superior to the other investments. RTBs are affordable with a minimum denomination of PHP 5,000 and in multiples of PHP 5,000 thereafter”, Diaz explained.
The bond offer began on May 30 to June 8 and will be issued on June 13 with a 3-year maturity. However the BTr told the public that the offer period can be shortened depending on the availability of bonds.
The government issues RTBs to raise capital for its projects and to diversify funding sources of the government and to promote awareness to the Filipino for the habit of investing #parareadytayobukas.
"As to negotiability, they are negotiable and transferable, the interest rate is 4.8750 p.a and the interest will be deposited to your account quarterly," she said.
Last week, the BTr auctioned off PHP 66-billion, expecting higher than last year's PHP 255-billion.
The BTr advised the public to go to their prefered bank for inquiries. (PNA)
