MANILA – The rate of the Bangko Sentral ng Pilipinas’ (BSP) 28-day securities fell anew Friday due to continued high demand and ample domestic liquidity.
Data released by the central bank show that the average accepted yield of the debt paper slipped to 1.8286 percent from 1.8562 percent during the auction last April 16.
The BSP still offered the securities for PHP90 billion and bids amounted to PHP145.25 billion.
The auction committee made a full award.
The bid coverage ratio this week is at 1.6139, higher compared to the previous week’s 1.4664 when tenders amounted to PHP131.976 billion.
The drop in BSP debt paper’s interest rate in recent weeks has been repeatedly traced to the high liquidity situation in the country.
“Moving forward, the BSP’s monetary operations will remain guided by its assessment of the latest liquidity conditions and market developments,” BSP Deputy Governor Francisco Dakila Jr. said. (PNA)
