The Bureau of the Treasury (BTr) is eyeing to raise P200 billion from the domestic market through its issuance of treasury bills and treasury bonds for the month of September.
According to a memorandum posted by the BTr on its website yesterday, the government is programmed to borrow a total of P60 billion in treasury bills and P140 billion in treasury bonds.
Specifically, the BTr will offer P15 billion in treasury bills per auction next month.
The 91-day, 182-day and 364-day treasury bills will be auctioned every Monday, with volumes of P5 billion per tenor.
The BTr will also auction treasury bonds for every Tuesday of September.
Tenors to be issued include a 3.5-year treasury bond, seven-year IOU, 10-year securities and a 16-year paper.
The volume remains at P35 billion for every treasury bonds auction.
Meanwhile, the BTr has rejected all bids for the treasury bills auctioned yesterday as rates increased and trended above secondary market levels across all tenors.
“Full rejection as market asked for higher yields with (Fed Chairman Jerome) Powell rhetoric higher for longer from Jackson Hole,” Rosalia de Leon, national treasurer, told reporters yesterday.
The auction attracted P17.3 billion in total tenders, more than 1.2 times the P15 billion offering.
The 90-day, 182-day and 364-day IOUs fetched average rates of 2.685 percent, 3.561 percent and 4.399 percent, respectively, had they been awarded. – Angela Celis
