Connect with us

Hi, what are you looking for?

Economy

Government to borrow P170B in May

THE Bureau of the Treasury (BTr) is set to raise P170 billion from the domestic debt market in May, as the government seeks to boost liquidity amid the pandemic.

In an advisory, the BTr said the May domestic borrowing plan is the same amount programmed for this month.

The BTr said it would borrow P100 billion during the weekly offering of Treasury bills (T-bills), and another P70 billion via Treasury bonds (T-bonds) to be offered fortnightly.

In a Viber message to reporters, National Treasurer Rosalia V. de Leon said the borrowing program was unchanged to “build liquidity and make the curve more efficient.”

“Investors’ bias (is currently) on the belly for yield pickup without long duration risk,” she said.

A bond trader said by telephone that the movement of rates and demand on the upcoming auctions would depend on the economic data to be released in early May, such as April inflation and first-quarter gross domestic product (GDP).

The Philippine Statistics Authority will report April inflation data on May 5 and first-quarter GDP data on May 11.

The BTr kept the P25-billion weekly program for T-bills to be offered every Monday. This is broken down into P5 billion in 91-day debt, P8 billion in 182-day debt and P12 billion in 364-day securities.

It also planned to raise P35 billion in five-year T-bonds on May 6, and another P35 billion via  seven-year notes on May 20.

The government raised P205 billion from the local debt market this month, more than the programmed P170 billion, as it opened its tap facility on several occasions to take advantage of low rates and strong demand  during its auctions.

The government is looking to borrow P3 trillion this year from domestic and external sources to help fund a budget deficit seen to hit 8.9% of GDP. — Beatrice M. Laforga

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the daily email that makes reading the news actually enjoyable. Stay informed and entertained, for free.
Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Economy

Leading digital solutions platform Globe was recently recognized by the ASEAN Innovative Business Platform (AIBP) for being a trailblazer on environmental, social, and governance...

Economy

  Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their...

Economy

NEW TAXES may have to be introduced to fund the incoming Marcos administration’s priority projects, but the timing would have to be carefully considered,...

Economy

By Revin Mikhael D. Ochave, Reporter AS FERDINAND R. MARCOS, JR. is poised to assume office on June 30, business groups are hoping the...

Economy

THE PHILIPPINES may find it more costly to service its foreign debts, as the peso slumped to its weakest value against the US dollar...

Economy

By Arjay L. Balinbin, Senior Reporter SPECTRUM USER FEES (SUF), which telecommunications companies described as excessive, are unlikely to be lowered under the Marcos...

You May Also Like

Investing

Having a good Instagram marketing agency to back up your Instagram account is an absolute must going into the new year. With competition stronger...

Economy

Ivermectin, an existing drug against parasites including head lice, has had a checkered history when it comes to treating COVID-19. The bulk of studies...

Investing

Insomnia is the most common sleep disorder in the global population. Therefore, it is a problem that many people suffer or have suffered throughout...

Investing

As a traditionally rigid insurance industry becomes bogged down by antiquated processes and operations, a handful of industry leaders are seeking to shake things...

Disclaimer: SmartRetirementReport.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2021 SmartRetirementReport. All Rights Reserved.