MANILA – Rate of the Bangko Sentral ng Pilipinas’ (BSP) 28-day securities rose Friday due to strong demand as shown by the oversubscription amidst the higher offer volume.
Data released by the central bank showed that the average rate of the debt paper rose to 1.7746 percent from 1.7739 percent during the auction last May 14.
BSP offered the debt paper for PHP110 billion and fully awarded it after tenders reached PHP135.1 billion.
Bid coverage ratio stood at 1.2282, higher than the 1.2093 in the previous auction when the PHP100 billion offer was met with PHP120.926 billion worth of tenders.
BSP Deputy Governor Francisco Dakila Jr., in a statement, said “results of the BSP bill auction remains in line with the BSP’s view that market conditions remain normal and financial system liquidity continues to be ample.”
“Looking ahead, the BSP’s monetary operations will remain guided by its assessment of the latest liquidity conditions and market developments,” he added. (PNA)
