National Treasurer Rosalia de Leon
MANILA – The continued strong supply of domestic liquidity resulted in the sideways movement of Treasury bill (T-bill) rates Monday.
The rate of the 91-day paper moved to 1.086 percent from 1.088 percent during the auction last Oct. 12.
It was offered for PHP5 billion and was fully awarded. Total bids reached PHP21.87 billion.
The average rate of the 182-day T-bill also declined to 1.597 percent from last week’s 1.598 percent.
It was fully awarded at PHP5 billion while tenders were more than four times at PHP21.632 billion.
The rate of the one-year paper stood at 1.793 percent, similar to last week’s rate.
This tenor was offered for PHP10 billion and bids were more than twice at PHP25.46 billion. The auction committee made a full award.
“Liquidity remains strong. (Investors are) Looking for redeployment outlets with interests on the front end of the curve,” National Treasurer Rosalia de Leon told journalists in a Viber message.
Meanwhile, de Leon said they will launch the second series of one-year Premyo bonds in November, with an initial target issuance of PHP3 billion.
Rate of this retail securities will “still to be set”, she said.
“But you will be after the prizes, not coupon (rate). Tenor is only one year so (its) rate (will be) better than time deposit (products),” she added.
BTr first launched Premyo bond in November last year through an initial offer of PHP3 billion.
It, however, upsized the issue size to PHP4.961 billion due to strong demand.
This debt paper is among BTr’s retail investment offerings since minimum placement is PHP500. Investors can purchase as much as PHP10 million.
The BTr conducts a quarterly draw for this securities and bond holders have the chance to win cash prices and houses and lots or condominium units. (PNA)
