The Auction Committee of the Bureau of the Treasury (BTr) fully awarded the PHP15-billion re-issued 10-year Treasury bonds (T-bonds) on Tuesday.
The T-bonds were oversubscribed attracting PHP43.28 billion worth of tenders as the debt paper fetched higher yield.
The average yield for the auction was at 5.87 percent, slightly higher than the 5.85 percent PHP Bloomberg Valuation yield on Monday, Rizal Commercial Banking Corp. (RCBC) chief economist Michael Ricafort said.
Ricafort said the yield on Tuesday’s bid was lower than the 5.967 percent posted in the previous 10-year T-bond auction last Sept. 17.
The re-issued debt securities have a coupon rate of 6.25 percent, with a remaining life of 9.2 years, or payable by Jan. 25, 2034.
“With its decision, the committee raised the full program of PHP15 billion, bringing the total outstanding volume for the series to PHP251.85 billion,” the BTr said in a statement.
The BTr issues debt securities such as Treasury bills and T-bonds to raise funds for the national government. (PNA)
