MANILA -- Credit rater S&P Global Ratings on Monday gave the Philippines’ proposed benchmark US dollar-denominated bond issuance a ‘BBB’ rating, the same rating it bestowed upon the country.
“The notes represent direct, general, unconditional, unsecured, and unsubordinated obligations of the sovereign, and rank equally with the sovereign’s other unsecured and unsubordinated debt obligation,” the debt-rater said in a statement Monday.
Finance officials have not made any formal announcement for this year’s issuance pending the actual sale.
National Treasurer Rosalia De Leon earlier said the government plans to issue between USD750 million to USD1 billion worth of dollar-denominated Republic of the Philippines (ROP) bond this year, proceeds of which will be used to finance this year’s requirements.
Tenors would likely be between 10 years to 25 years, she said.
The last time the Philippine government issued ROP is in January 2018, amounting USD2 billion.
In the past, the ROP issuance has a new money component and a swap feature, with the latter allowing the government to redeem notes with high interest rates for cheaper bonds. (PNA)
