The Bureau of the Treasury fully awarded P20 billion in Treasury bills (T-bills) on Monday despite all tenors fetching slightly higher rates than the previous auction.
But National Treasurer Rosalia V. De Leon told reporters following the auction that the “rates [were] aligned with inflation as investors look for signal from the BSP [Bangko Sentral ng Pilipinas].”
“Rates [are] slightly higher than previous auction but lower than secondary levels,” De Leon added.
Monday’s auction was oversubscribed by more than thrice the P20 billion offering, with total tenders reaching P68.9 billion.
The 91-day T-bills capped a higher average rate of 2.068 percent, up by 3.3 basis points from the previous average rate of 2.035 percent. Tenders for the 91-day T-bills amounted to P15.904 billion, three times the P5 billion-offering.
The 182-day T-bills posted an average rate of 2.159 percent, 5.8 basis points higher than the 2.101 percent average rate in the previous auction. The tenor attracted total bids of P11.685 billion, twice the P5 billion-offering.
Lastly, the 364-day T-bills recorded an average rate of 2.408 percent, climbing by 5.8 basis points from 2.350 percent previously. Tenders for the tenor was four times as much as the P10 billion-offering, with bids amounting to P41.283 billion.
For this month, the Treasury programmed to borrow P170 billion from the local debt market.