ASEAN KEY DESTINATIONS
Philippine T-bills slump
The benchmark 91-day T-bills, used by banks in pricing their loans, fell by 22 basis points to 0.680 percent, a new record low yesterday, from 0.900 percent last April 4. This was also the lowest yield since the three-month T-bills fetched 0.700 percent last Jan. 10.
On the other hand, the 182-day debt papers fetched a new all-time low of 0.898 percent or 30.7 basis points lower than the previous average of 1.125 percent while the yield of 364-day T-bills hit a new record low of 1.968 percent or 22.3 basis points lower than the previous yield of 2.191 percent.
“It was a pleasant surprise,” Deputy Treasurer Eduardo Mendiola told reporters about the sharp drop in T-bill rates yesterday.
He said the market is awash with liquidity as P26 billion worth of T-bills are scheduled to mature tomorrow.
Mendiola pointed out that tenders for the 91-, 182-, and 364-day T-bills reached P30.935 billion yesterday or more than three times the issue size of P9 billion.
Tenders for the three-month debt paper reached P7.568 billion and the auction committee accepted P2.1 billion instead of onl.y P1.5 billion.
Bids for the six-month T-bills amounted to P11.867 billion and the committee made a full award of P3.5 billion while tenders for the one-year debt paper amounted to P11.5 billion of which the committee made a full award of P4 billion.
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