MANILA - - The Bureau of the Treasury (BTr) is now working with the Bangko Sentral ng Pilipinas (BSP) and the Securities and Exchange Commission (SEC) in uplifting the domestic capital market.
This as the government now relies more on onshore fund sources rather than foreign creditors, with the borrowing program set at 80-20 in favor of domestic sources.
Finance Secretary Carlos Dominguez III said "the goal is for a company to be able to sell bonds to the public directly or through the exchange."
He said the on-going reforms will allow private companies to tap the public as investors and not solely rely on banks and other money lenders to finance their requirements.
"We want to develop the capital market so he (the company) will have a choice of going directly to (the public), like you issued new shares of stocks. Thats really the idea - - to make our financial markets more mature," he said.
"That takes quite a bit of doing. It won't happen overnight but the direction is there and I think we are making good progress towards that," he said.
National Treasurer Rosalia De Leon said BTr is working with the central bank and the SEC to determine valuation methodology of bonds' mark-to-market figures and benchmarking, among others.
"We are waiting also for the SRO (self-regulatory organization) approval for the REPO (repurchase) market," she said.
De Leon said reforms on the REPO market is targeted to be implemented "hopefully within the year."
She said securities' yields are expected to improve with these reforms, noting that government securities eligible dealers (GSEDs) are now given monthly rating based on their participation in the regular Treasury bill (T-bill) and Treasury bond (T-bond) auctions. (Joann Villanueva/PNA)
This as the government now relies more on onshore fund sources rather than foreign creditors, with the borrowing program set at 80-20 in favor of domestic sources.
Finance Secretary Carlos Dominguez III said "the goal is for a company to be able to sell bonds to the public directly or through the exchange."
He said the on-going reforms will allow private companies to tap the public as investors and not solely rely on banks and other money lenders to finance their requirements.
"We want to develop the capital market so he (the company) will have a choice of going directly to (the public), like you issued new shares of stocks. Thats really the idea - - to make our financial markets more mature," he said.
"That takes quite a bit of doing. It won't happen overnight but the direction is there and I think we are making good progress towards that," he said.
National Treasurer Rosalia De Leon said BTr is working with the central bank and the SEC to determine valuation methodology of bonds' mark-to-market figures and benchmarking, among others.
"We are waiting also for the SRO (self-regulatory organization) approval for the REPO (repurchase) market," she said.
De Leon said reforms on the REPO market is targeted to be implemented "hopefully within the year."
She said securities' yields are expected to improve with these reforms, noting that government securities eligible dealers (GSEDs) are now given monthly rating based on their participation in the regular Treasury bill (T-bill) and Treasury bond (T-bond) auctions. (Joann Villanueva/PNA)
