BTr fully awards T-bonds

By Anna Leah Gonzales

January 16, 2024, 5:10 pm

MANILA – The Bureau of the Treasury (BTr) fully awarded the new seven-year Treasury bonds (T-bonds) at Tuesday's auction, setting the coupon rate at 6.125 percent.

The auction received strong demand, going 3.6 times oversubscribed, as total submitted bids amounted to PHP107.1 billion.

The BTr raised the full program of PHP30 billion.

Rizal Commercial Banking Corporation chief economist Michael Ricafort said the seven-year T-bond average auction yield eased to 6.094 percent from 6.807 percent in the previous T-bond auction on Nov. 7, 2023.

"The 7-year T-bond auction yield [was] also lower than the comparable 7-year PHP BVAL (Bloomberg Valuation Service) yield at 6.12 percent as of January 15, 2024," he said.

Ricafort said this is amid an easing inflation trend in recent months as global crude oil prices continue to be at six-month lows. (PNA)