The Bureau of the Treasury (BTr) has raised P22 billion from the treasury bills auctioned yesterday amid the continued decline in rates across all tenors.
The auction was more than four times oversubscribed, with bids amounting to P86.7 billion, prompting the auction committee to double the non-competitive bids for the 182-day securities.
Thus, the committee raised P22 billion from the sale of short-term IOUs, versus the P20-billion offering.
The rates of the 91-day, 182-day and 364-day securities all fell below previous rates and secondary market rates.
“Rates trending down with abundant liquidity. Preference is on front end of the curve,” Rosalia de Leon, national treasurer, told reporters via Viber after the auction.
The 91-day paper fetched a rate of 0.977 percent, one basis point (bps) lower than the previous average of 0.987 percent.
Demand reached P21.45 billion, with the auction committee awarding P5 billion as planned.
For the half-year securities, the average stood at 1.36 percent, 0.9 bps down from the previous rate of 1.369 percent.
Tenders amounted to P22.22 billion, with the treasury department awarding P7 billion, against the P5 billion program.
Lastly, the one-year debt instrument recorded a rate of 1.605 percent, lower by 0.9 bps compared to the 1.614 percent average posted in the previous auction.
The amount tendered was P43.045 billion, more than four times the P10 billion which was fully awarded.