Gov’t sets P100-B local borrowing program for December

MANILA  -The government will borrow P100 billion from domestic creditors in December, smaller than the P225 billion programmed for the previous month.

The Bureau of the Treasury will sell P20 billion worth of Treasury bills and P80 billion worth of Treasury bonds in December.

Analysts said the government front-loaded borrowings last month as financial markets would be closed for several days in December during the holidays.

Broken down, there will be two T-bill auctions in December and P10 billion in short-term IOUs will be offered in each auction.

The size for the 91-day and 182-day bills were set at P3 billion each per auction, while the volume of the 364-day T-bill was set at P4 billion.

Meanwhile, the government will sell during the month 10-year and 15-year T-bonds amounting to P40 billion each.

The Marcos administration borrows money from creditors at home and abroad to bridge a projected budget deficit of P1.5 trillion this year.