Philippine gov’t offers at least $1.5B in US dollar bonds

The Philippines’ national government will issue at least $1.5 billion in US dollar bonds or at least $500 million each of 5.5-year, 10.5-year and 25-year debt paper.

Proceeds from the issuance are earmarked mainly for general budget financing.

The longest-maturing issues are the 25-year Sustainability Bonds, proceeds from which are also intended to finance or refinance assets in line with the government’s “sustainable finance framework.”

In 2023, the Development Budget Coordination Committee expects to spend P1.47 trillion beyond state revenues. At that amount, the budget deficit is projected to represent 6.1 percent of Philippine gross domestic product this year.