The Bureau of the Treasury on Tuesday decided to reissue the 20-year treasury bond due 2044 at an average rate of 6.189 percent, lower than the bond’s coupon due to strong demand for the debt paper.
At the auction in February, the bond, which has a remaining term of 19 years and 11 months, fetched a coupon rate of 6.25 percent.
The P30 billion offer size fetched total bids of P60.9 billion. The offered amount was awarded in full.
At the secondary bond market, the 20-year bond was quoted Tuesday at 6.12 percent.
The budget surplus of P88 billion in January the government reported earlier helped soften interest rates in the debt market.
