The government is lining up a hefty start to its 2026 borrowing program, targeting P824 billion in the first quarter alone to help fund state spending.
Based on the issuance calendar released by the Bureau of the Treasury (BTr), the amount will be raised through weekly auctions of treasury bills and bonds, underscoring the state’s continued reliance on the domestic debt market.
Starting January 5 and every Monday thereafter, the BTr will auction P27 billion worth of treasury bills, evenly split at P9 billion each for the 91-day, 182-day, and 364-day tenors. The steady supply gives investors predictable access to short-term government securities early in the year.
Bond auctions will be held every Tuesday beginning January 6, mainly through the reissuance of existing debt. An exception is set for February 18, when the Treasury will offer a new 10-year benchmark fixed-rate bond, typically sized at P25 billion.
On Tuesday, January 6, the Treasury aims to raise P50 billion from the sale of outstanding 3-year and 10-year bonds, carrying coupon rates of 3.75 percent and 6.375 percent, respectively. The mix is designed to attract demand across different maturity preferences.
The front-loaded borrowing program feeds into a much larger financing plan for the year. The government intends to tap both local and international funding sources to raise P2.7 trillion to bankroll a proposed P6.793 trillion national budget for 2026.
Analysts expect strong participation from banks and institutional investors, though the volume of supply could influence yields. For now, the Treasury appears focused on locking in funding early while maintaining orderly market conditions.
