The Bureau of the Treasury (BTr) has fully awarded the reissued 20-year treasury bonds during yesterday’s auction as it fetched lower rates.
With 14 years and eight months to maturity, the securities fetched an average rate of 6.085 percent.
This is lower than the coupon rate of 6.5 percent when it was first issued in February 2018.
The auction attracted strong demand with P51.7 billion in total tenders.
The tendered amount is equivalent to 2.1 times the P25 billion offer.
With its decision, the BTr raised the full program, bringing the total outstanding volume for the series to P165 billion.
Last Monday, the BTr’s treasury bills auction ended with mixed results as the government capped rates for the 91-day IOUs.
The BTr decided to fully award bids for the 182- and 363-day securities while partially awarding the 91-day T-bills.
The auction was 1.3 times oversubscribed, attracting P20 billion in total tenders.
With its decision, the BTr raised P13.6 billion of the P15 billion total offering.
