MANILA – The rate of the Bangko Sentral ng Pilipinas’ (BSP) 28-day securities declined Friday on the back of continued strong demand for the paper.
Data released by the central bank showed that the average rate of the debt paper slipped to 1.8562 percent from 1.8795 percent during the auction last April 12.
The BSP fully awarded the debt securities, which was offered for PHP90 billion.
Bids totaled PHP131.976 billion, resulting in a bid coverage ratio of 1.4664.
This week’s offer volume is higher by PHP10 billion compared to last week’s auction.
Total tenders last week reached PHP114.176 billion.
In a statement, BSP Deputy Governor Francisco Dakila Jr. underscored the strong demand for the debt paper this week.
This demand and the amount of tenders, he said, “remain in line with the observed market normalization amid continued ample liquidity in the financial system.”
“Moving forward, the BSP’s monetary operations will remain guided by its assessment of the latest liquidity conditions and market developments,” he added. (PNA)
