Manila, Philippines - The Bureau of the Treasury (BTr) announced that the newly issued 20-year Treasury bonds (T-bonds) were met with robust demand, receiving bids that were three times the amount offered.
According to Philippines News Agency, the PHP30-billion issuance of T-bonds was fully awarded during the auction held on Tuesday, with total bids reaching PHP91.4 billion, significantly exceeding the initial offer.
The Auction Committee ultimately rejected tenders amounting to PHP61.423 billion, underscoring the high level of interest from investors. The BTr has set the coupon rate for these long-term securities at 6.25 percent, a figure that falls below the prevailing rates in the secondary market. The yields on the offered T-bonds varied, ranging from as low as 6 percent to a high of 6.328 percent, indicating a favorable response from the market towards this investment opportunity.