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Govt to sell P60B in retail Treasury bonds by Oct.


The government plans to issue at least P50 to P60 billion in retail Treasury bonds (RTBs) in the second or third week of October, according to a Bureau of the Treasury (BTr) official. The BTr is expected to issue a mandate this week for a consortium of banks to handle the debt sale, said Deputy Treasurer Eduardo Mendiola, adding that two groups of banks have so far responded to the BTr’s request for proposals on how to handle the sale. The proposals are now under review, Mendiola said. The government plans to issue 10- and 15-year RTBs with a minimum issue size of P25 billion to P30 billion for each tenor, the Treasury official added. The issuance of RTBs is part of the government’s savings mobilization program to make government securities available to retail investors and create a so-called savings consciousness among Filipinos. With RTBs, investors can buy the debt paper in minimum lots of P5,000 each. BTr data show that the government has around P60 billion in maturing RTBs this year, which authorities hope to siphon off anew with the planned October offering. Government hopes to match the RTB sale last March when it sold P104 billion worth of the debt paper to retail investors and state-owned companies, Mendiola said. — PE/VS, GMA News

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