The National Treasury awarded in full the P10 billion it offered at the auction Tuesday, an amount lower than the usual size after the government issued tokenized treasury bills and disclosed plans to raise USD1 billion from the offer of Sukuk bonds.
Total tenders reached P72.22 billion for the treasury bills, nearly five times the usual offer size of P15 billion, pushing down yields sharply lower. The auction last week was cancelled due to the offer of tokenized bills.
Yield on the 91-day treasury bills to 4.753 percent at Tuesday’s auction compared with 6.123 percent during the Nov. 13 auction.
Average rates on the 182-day bills dropped to 5.181 percent from the previous 6.513 percent while the yield on the 364-day debt paper plunged to 5.727 percent from 6.560 percent previously.
The Bureau of Treasury upsized the tokenized treasury bills to P15 billion from P10 billion after the size of the book reached P31.43 billion. The interest rate was set at 6.500 percent.
