THE Bureau of the Treasury (BTr) on Monday made a full award of its auctioned triple-tenor Treasury bills (T-bills), raising the total target amount of P15 billion as investors’ asking rates fell below secondary market levels.
The Treasury raised P5 billion each from the tendered 3-month, 9-month and 1-year government securities.
“The 91-day, 182-day and 364-day T-bills fetched average rates of 5.777 percent, 5.898 percent and 5.945 percent, respectively, all lower than the previous auction and the prevailing secondary market rates,” a statement the Treasury issued after the auction read.
The secondary market rates for the auctioned T-bills were as follows: 5.823 percent for 91-day; 5.906 percent for 182-day; and, 5.951 percent for the 364-day short-term debt paper.
The Treasury’s auction committee noted that Monday’s tender was oversubscribed by four times as total bids reached P60.7 billion.
Broken down, the total amount tendered for each T-bill auctioned by the Treasury were as follows: P14.062 billion for 91-day; P20.080 billion for 182-day; and, P26.528 billion for 364-day.
Bidders for the 91-day T-bills’ asking interest rates ranged from a low of 5.75 percent to a high of 5.8 percent.
For the 182-day debt paper, investors sought rates ranging from 5.88 percent to 5.918 percent while the 364-day T-bill fetched rates ranging from 5.928 percent to 5.95 percent.
The national government plans to raise a total of P175 billion this year from the sale of government securities with P100 billion coming from the auction of Treasury bonds (T-bonds) and P75 billion from T-bills.
For the whole year, the national government plans to borrow P2.207 trillion with a 75:25 mix in favor of domestic sources.
In terms of domestic borrowings, the national government aims to raise a total of P1.654 trillion, P54.1 billion of which coming from the sale of T-bills while the remaining amount would come from the auction of T-bonds.