MANILA -- The Bangko Sentral ng Pilipinas (BSP) will offer PHP80 billion under its term deposit facility on Wednesday.
Data released by the central bank Monday showed that the seven-day facility will be offered for PHP20 billion, while both the 14-day and 28-day facilities will be offered for PHP30 billion.
The shortest-tenor TDF offering this week is twice the PHP10 billion offered during the auction last September 11.
The offering for the longer-dated TDF are also higher by PHP10 billion each.
Last week, the rates of the TDF declined across-the-board after the over-subscription in all tenors.
BSP Deputy Governor Francisco Dakila Jr. traced the increased bids to higher liquidity among banks.
Dakila said they offered higher volume last week compared to the PHP40-billion offer in the previous week “in anticipation of higher excess liquidity to be siphoned from the financial system as a result of funds released from the deposits of the National Government with the BSP.” (PNA)
