MANILA – The rates of the Bangko Sentral ng Pilipinas’ (BSP) term deposit facility (TDF) slipped Wednesday, still on strong demand.
Data released by the central bank showed that the average rate of the seven-day facility declined to 2.2504 percent, and the 14-day day facility to 2.2508 percent.
These were at 2.2505 percent and 2.2512 percent during the auction last June 17.
Both facilities were fully awarded.
The BSP offered the shorter-dated facility for PHP120 billion, the same as last week, and tenders amounted to PHP278.475 billion.
The bid coverage ratio increased to 2.3206 from last week’s 2.2370 when the bids totaled to PHP268.44 billion.
The 14-day facility was offered for PHP50 billion and received tenders amounting to PHP140.3 billion.
The bid coverage ratio slipped to 2.8060 from last week’s 3.0527 when the offer volume is PHP30 billion and bids reached PHP91.58 billion.
“The results of today’s auction continue to indicate very strong market interest for safe assets amid ample financial liquidity. The BSP takes all these into consideration in assessing current financial liquidity conditions in the calibration of the volume and tenors for its TDF auctions,” the central bank said in a statement. (PNA)
