Treasury bills, bonds issued as of end-July jumped to P7.58T

With more bonds sold by the Bureau of the Treasury amid strong demand, outstanding locally issued IOUs rose to another high of P7.58 trillion as of end-July.

The latest Treasury data on Friday showed outstanding T-bonds further climbed to P6.58 trillion in July from P6.38 trillion in June due to the sustained weekly auction offerings.

The jump in bonds made up for the decline in outstanding T-bills to P994.58 billion from P1.02 trillion last June as short-dated debt paper matured.

End-July outstanding benchmark 91-day treasury bills reached P138 billion; P234.4 billion in 182-day; and P622.18 billion in 364-day.

Outstanding treasury bonds as of July included P252.51 billion in three-year; P401.78 billion in five-year; P719.11 billion in seven-year; and P859.55 billion in 10-year.

Meanwhile, 10-year agrarian reform bonds amounted to P7.86 billion; P475.22 billion in 20-year; P235.98 billion in 25-year bonds; and P97.05 billion from the $6.582-million Philippine Par Bond redenominated into 28.5 years.

There were also P2.48 trillion worth of outstanding retail treasury bonds (RTBs); P1.07 trillion in benchmark bonds; P50 billion in 25-year CB-BoL T-bonds; P25.11 billion in onshore dollar T-bond; and P6.56 billion in one-year “premyo” bonds.

Separate Treasury data showed the national government’s gross borrowings from January to June increased by 12 percent to P1.93 trillion from P1.72 trillion a year ago mainly due to bigger domestic obligations.

Gross financing sourced locally amounted to a larger P1.65 trillion during the first half, of which P73.59 billion came from net issuance of T-bills, P463.32 from RTBs sold in March, P571 billion from fixed-rate treasury bonds and P540 billion from the short-term, zero-interest loan extended by the Bangko Sentral ng Pilipinas.

For 2021, the government had programmed P3.03 trillion in gross borrowings, of which P2.58 trillion will be sourced from the local debt market through the sale of treasury bills and bonds. This year’s borrowings will further hike the national government’s outstanding debt to a record-high P11.55 trillion by end-2021.