Gov’t Oct borrowings up 47%

The government’s gross borrowings jumped 47 percent to P50.3 billion in October as it sold more treasury bonds amid strong demand due to rising liquidity.The latest Bureau of the Treasury data showed that combined gross domestic and external borrowings last October climbed from P34.1 billion a year ago.At the start of the fourth quarter, locally sourced borrowings, mainly from the sale of treasury bills and bonds rose to P47.5 billion from P32.3 billion last year.While P22.5 billion in T-bills matured in October, it was offset by P70 billion in T-bonds issued that month.

Back in October, the Treasury’s weekly auctions were met with robust demand given the liquidity freed up into the system by a series of cuts in banks’ reserve requirement ratio. INQ