Treasury to start selling ‘premyo’ bonds on Nov. 11 | Inquirer Business
Close  

Treasury to start selling ‘premyo’ bonds on Nov. 11

By: - Reporter / @bendeveraINQ
/ 05:16 AM October 29, 2020

The Bureau of the Treasury plans to raise P140 billion from its weekly auction of government securities in November on top of launching the second “premyo” bonds offering where investors can also win prizes.

In an Oct. 27 memorandum to government securities eligible dealers, National Treasurer Rosalia V. de Leon said the Treasury would auction P20 billion in bills—P5 billion in the benchmark 91-day, P5 billion in 182-day and P10 billion in 364-day—on Nov. 3, 9, 16 and 23.

ADVERTISEMENT

The usual Monday auction was moved to Nov. 3, Tuesday, during the first week of November as Nov. 2 had been declared a special nonworking day.

The Treasury will also sell P30 billion each in three- and five-year bonds on Nov. 4 and 17, with the usual Tuesday bond auction also moved a day later as a result of the Nov. 2 holiday.

FEATURED STORIES

De Leon said the bond tenors were based on recent auction results wherein the investors’ sweet spot was in the intermediate part of the curve.

De Leon also disclosed that the second issuance of one-year premyo bonds would be launched on Nov. 11.

The bonds, to be offered in denominations of only P500, will be a “safe investment in nation-building with higher prizes,” De Leon said.

The Treasury plans to raise at least P3 billion from these IOUs, which will give retail bondholders not only an affordable investment but also a chance to win prizes such as cash, house and lots or condominium units and cars.

De Leon said the Treasury would launch a new mobile app in time for the premyo bonds sale.

The government had programmed to borrow a record P3 trillion—P2.22 trillion from local sources on top of P785.6 billion in external borrowings—in 2020 to finance the protracted fight against the health and socioeconomic crises inflicted by the COVID-19 pandemic.

ADVERTISEMENT
Subscribe to Inquirer Business Newsletter
Read Next
Don't miss out on the latest news and information.

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: ‘Premyo’ bonds, Bureau of the Treasury, National Treasurer Rosalia V. De Leon
For feedback, complaints, or inquiries, contact us.


© Copyright 1997-2020 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.