The Bureau of the Treasury will borrow P200 billion from the domestic market in August as the economy remains awash in cash despite the prolonged pandemic.
In a July 28 memorandum to all government securities eligible dealers, National Treasurer Rosalia de Leon said the Treasury would auction off P15 billion in T-bills—P5 billion each in benchmark 91-day, 182-day and 364-day bills—every Monday in August.
The Treasury will also sell P35 billion in bonds every Tuesday of next month—10-year bonds on Aug. 3, seven-year on Aug. 10, 20-year on Aug. 17 and 11-year on Aug. 24.
De Leon last Monday said that despite the lurking threat from the more contagious Delta variant of COVID-19, “liquidity is still very much around, looking for a home.”
For 2021, the national government will source P2.58 trillion of its P3.03-trillion programmed gross borrowings from the local debt market, mainly through the sale of T-bills and bonds.
As for external borrowings, the Department of Finance on Monday said the Washington-based World Bank would lend the Philippines a total of $3.1 billion this year—the biggest annual lending program so far.
The Asian Development Bank (ADB), meanwhile, said it was currently preparing a financing for the South Commuter Railway project, which will be up for approval by the Manila-based lender’s board by the fourth quarter.
The ADB will cofinance the 55-kilometer South Commuter Railway with the Japan International Cooperation Agency.