BTr fully awards reissued T-bonds

By Kris Crismundo

March 12, 2024, 6:25 pm

MANILA – The Bureau of the Treasury (BTr) fully awarded the reissued Treasury bonds during Tuesday’s auction.

The T-bonds offering amounted to PHP30 billion but it was more than thrice oversubscribed as total tenders reached PHP96.071 billion.

The 10-year debt securities hae a remaining term of 9.9 years with maturity date of Jan. 25, 2034.

The reissued T-bonds fetched an average annual rate of 6.227 percent.

Rizal Commercial Banking Corp. (RCBC) chief economist Michael Ricafort said the T-bonds’ average yield was lower than the comparable 10-year PHP Bloomberg Valuation Service (BVAL) rate of 6.25 percent as of March 11.

However, the yield was slightly higher than the PHP BVAL yield of 6.218 percent in the previous 10-year T-bond auction on Jan. 23, 2024, he said.

“Matured PHP700 billion RTBs (Retail Treasury Bonds) from March 9-12, 2024 could have added to the peso liquidity/funds in the financial markets that would increase the demand and lower the yields for government securities, as these excess funds could be reinvested,” Ricafort added. (PNA)